- Published on
Health Outcomes
- Authors
- Name
- Kwanyoung Joo
DCE – Discrete Choice Experiment
- Definition: A survey-based method used to elicit preferences by asking individuals to choose between hypothetical alternatives with different attributes.
- In Health Economics: Used to determine how people value different aspects of healthcare services (e.g., waiting time, effectiveness, side effects), often to estimate willingness to pay (WTP) or utility weights.
CV – Contingent Valuation
- Definition: A stated preference method that directly asks individuals how much they would be willing to pay (or accept) for a specific health benefit or to avoid a health risk.
- In Health Economics: Commonly used when market prices are unavailable, such as valuing environmental health risks or rare conditions.
QALY – Quality-Adjusted Life Year
- Definition: A measure that combines quantity and quality of life into a single metric.
- In Health Economics: 1 QALY = 1 year of life in perfect health. Used in cost-utility analysis to assess the value for money of medical interventions.
DALY – Disability-Adjusted Life Year
- Definition: A measure of disease burden that sums years of life lost (YLL) due to premature mortality and years lived with disability (YLD).
- In Health Economics: Used by organisations like WHO to quantify health gaps and prioritize global health interventions. Lower DALY = better health outcome.
WWP – Willingness to Pay
- Definition: The maximum amount an individual is willing to pay for a health gain or to avoid a negative health outcome.
- In Health Economics: Captures the monetary value individuals place on health improvements, often used in cost-benefit analyses.
TTO – Time Trade-Off
- Definition: A method to elicit health state utilities by asking individuals how many years of life they would trade to avoid living in a less desirable health state.
- In Health Economics: Used to derive QALY weights (e.g., would you prefer 10 years with a disability or 7 years in perfect health?).
- Takes away probabilistic approach of SG + less prone to bias from risk-averse patients (assumes risk-neutral)
SG – Standard Gamble
- Definition: A utility assessment method based on choices involving risk. Individuals choose between living in a certain health state or taking a gamble with possible outcomes of perfect health or death.
- In Health Economics: Considered the gold standard for measuring utility because it incorporates risk preferences.
- Participants may struggle to understand probabilistic approaches towards health.
VAS – Visual Analogue Scale
- Definition: A scale (usually 0 to 10) where individuals rate their current or hypothetical health state.
- Quick and easily understood but less theoretically rigorous than TTO or SG.