IDEAS home Printed from https://ideas.repec.org/a/eee/socmed/v246y2020ics0277953619307701.html
   My bibliography  Save this article

Measuring public preferences in France for potential consequences stemming from re-allocation of healthcare resources

Author

Listed:
  • Krucien, Nicolas
  • Heidenreich, Sebastian
  • Gafni, Amiram
  • Pelletier-Fleury, Nathalie

Abstract

When deciding which new programme to implement and where the additional resources, if needed, will come from, the decision makers need to accommodate the uncertainty of the potential changes in population health and medical expenditures that can occur. They also need to determine the value of these potential changes. The objective of this study is to identify a public valuation function measuring how the public values changes in population health and medical expenditures when healthcare resources are re-allocated. We report the results of a choice experiment conducted in March 2016 in a representative sample of the population living in France (N = 1008). The main results indicate that the public is more sensitive to changes in population health than changes in the level of medical expenditures. There is a non-linear valuation of these changes with evidence of asymmetric preferences and non-constant marginal sensitivity. The public gives 1.4 times more weight to decrease in population health than for the same-size increase. The public becomes less sensitive to marginal changes in population health as the level of changes increases. In a simulation study of 5000 resource allocation decisions, we show that non-linearities in public valuation of population health and medical expenditures matters. The linear and non-linear public valuation functions were associated with respectively 50.1% and 28.1% of situations of acceptable outcome of the reallocation of resources. The level of agreement between these two functions was moderate with a Kappa coefficient of 0.56, and the probability of agreement was mainly driven by the distribution of net changes in population health. This study provides a method and an estimation of a public valuation function that describes the preferences (or values attributed) for every potential outcome stemming from the reallocation of healthcare resources. The results show the importance of measuring such function rather than assuming one.

Suggested Citation

  • Krucien, Nicolas & Heidenreich, Sebastian & Gafni, Amiram & Pelletier-Fleury, Nathalie, 2020. "Measuring public preferences in France for potential consequences stemming from re-allocation of healthcare resources," Social Science & Medicine, Elsevier, vol. 246(C).
    • Handle: RePEc:eee:socmed:v:246:y:2020:i:c:s0277953619307701
    DOI: 10.1016/j.socscimed.2019.112775
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0277953619307701
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.socscimed.2019.112775?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Torres, Cati & Hanley, Nick & Riera, Antoni, 2011. "How wrong can you be? Implications of incorrect utility function specification for welfare measurement in choice experiments," Journal of Environmental Economics and Management, Elsevier, vol. 62(1), pages 111-121, July.
    2. Scott J. Savage & Donald M. Waldman, 2008. "Learning and fatigue during choice experiments: a comparison of online and mail survey modes," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 23(3), pages 351-371.
    3. Mandy Ryan & Nicolas Krucien & Frouke Hermens, 2018. "The eyes have it: Using eye tracking to inform information processing strategies in multi‐attributes choices," Health Economics, John Wiley & Sons, Ltd., vol. 27(4), pages 709-721, April.
    4. Carlsson, Fredrik & Kataria, Mitesh & Krupnick, Alan & Lampi, Elina & Löfgren, Åsa & Qin, Ping & Sterner, Thomas, 2013. "The truth, the whole truth, and nothing but the truth—A multiple country test of an oath script," Journal of Economic Behavior & Organization, Elsevier, vol. 89(C), pages 105-121.
    5. Esther W. de Bekker‐Grob & Mandy Ryan & Karen Gerard, 2012. "Discrete choice experiments in health economics: a review of the literature," Health Economics, John Wiley & Sons, Ltd., vol. 21(2), pages 145-172, February.
    6. Birch, Stephen & Gafni, Amiram, 1992. "Cost effectiveness/utility analyses : Do current decision rules lead us to where we want to be?," Journal of Health Economics, Elsevier, vol. 11(3), pages 279-296, October.
    7. de-Magistris, Tiziana & Pascucci, Stefano, 2014. "The effect of the solemn oath script in hypothetical choice experiment survey: A pilot study," Economics Letters, Elsevier, vol. 123(2), pages 252-255.
    8. Michael Clark & Domino Determann & Stavros Petrou & Domenico Moro & Esther Bekker-Grob, 2014. "Discrete Choice Experiments in Health Economics: A Review of the Literature," PharmacoEconomics, Springer, vol. 32(9), pages 883-902, September.
    9. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555, January.
    10. Daniel Kahneman & Amos Tversky, 2013. "Prospect Theory: An Analysis of Decision Under Risk," World Scientific Book Chapters, in: Leonard C MacLean & William T Ziemba (ed.), HANDBOOK OF THE FUNDAMENTALS OF FINANCIAL DECISION MAKING Part I, chapter 6, pages 99-127, World Scientific Publishing Co. Pte. Ltd..
    11. Colin Green & Karen Gerard, 2009. "Exploring the social value of health‐care interventions: a stated preference discrete choice experiment," Health Economics, John Wiley & Sons, Ltd., vol. 18(8), pages 951-976, August.
    12. Gafni, Amiram & Birch, Stephen, 1997. "QALYs and HYEs Spotting the differences," Journal of Health Economics, Elsevier, vol. 16(5), pages 601-608, October.
    13. Hensher, David A., 2010. "Hypothetical bias, choice experiments and willingness to pay," Transportation Research Part B: Methodological, Elsevier, vol. 44(6), pages 735-752, July.
    14. Weinstein, Milton & Zeckhauser, Richard, 1973. "Critical ratios and efficient allocation," Journal of Public Economics, Elsevier, vol. 2(2), pages 147-157, April.
    15. Mandy Ryan & Karen Gerard & Gillian Currie, 2012. "Using Discrete Choice Experiments in Health Economics," Chapters, in: Andrew M. Jones (ed.), The Elgar Companion to Health Economics, Second Edition, chapter 41, Edward Elgar Publishing.
    16. P. Sendi & A. Gafni & S. Birch, 2002. "Opportunity costs and uncertainty in the economic evaluation of health care interventions," Health Economics, John Wiley & Sons, Ltd., vol. 11(1), pages 23-31, January.
    17. Campbell, Danny & Boeri, Marco & Doherty, Edel & George Hutchinson, W., 2015. "Learning, fatigue and preference formation in discrete choice experiments," Journal of Economic Behavior & Organization, Elsevier, vol. 119(C), pages 345-363.
    18. Amiram Gafni & Stephen Walter & Stephen Birch, 2013. "Uncertainty And The Decision Maker: Assessing And Managing The Risk Of Undesirable Outcomes," Health Economics, John Wiley & Sons, Ltd., vol. 22(11), pages 1287-1294, November.
    19. Chris Skedgel & Allan Wailoo & Ron Akehurst, 2015. "Societal Preferences for Distributive Justice in the Allocation of Health Care Resources," Medical Decision Making, , vol. 35(1), pages 94-105, January.
    20. Abraham Mehrez & Amiram Gafni, 1989. "Quality-adjusted Life Years, Utility Theory, and Healthy-years Equivalents," Medical Decision Making, , vol. 9(2), pages 142-149, June.
    21. John Loomis, 2011. "What'S To Know About Hypothetical Bias In Stated Preference Valuation Studies?," Journal of Economic Surveys, Wiley Blackwell, vol. 25(2), pages 363-370, April.
    22. Gafni, Amiram & Birch, Stephen, 2006. "Incremental cost-effectiveness ratios (ICERs): The silence of the lambda," Social Science & Medicine, Elsevier, vol. 62(9), pages 2091-2100, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Genie, Mesfin G. & Ryan, Mandy & Krucien, Nicolas, 2021. "To pay or not to pay? Cost information processing in the valuation of publicly funded healthcare," Social Science & Medicine, Elsevier, vol. 276(C).
    2. Haghani, Milad & Bliemer, Michiel C.J. & Rose, John M. & Oppewal, Harmen & Lancsar, Emily, 2021. "Hypothetical bias in stated choice experiments: Part I. Macro-scale analysis of literature and integrative synthesis of empirical evidence from applied economics, experimental psychology and neuroimag," Journal of choice modelling, Elsevier, vol. 41(C).
    3. Haghani, Milad & Bliemer, Michiel C.J. & Hensher, David A., 2021. "The landscape of econometric discrete choice modelling research," Journal of choice modelling, Elsevier, vol. 40(C).
    4. Matthew Quaife & Fern Terris-Prestholt & Gian Luca Di Tanna & Peter Vickerman, 2018. "How well do discrete choice experiments predict health choices? A systematic review and meta-analysis of external validity," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 19(8), pages 1053-1066, November.
    5. Mesfin G. Genie & Nicolas Krucien & Mandy Ryan, 2021. "Weighting or aggregating? Investigating information processing in multi‐attribute choices," Health Economics, John Wiley & Sons, Ltd., vol. 30(6), pages 1291-1305, June.
    6. John Buckell & Vrinda Vasavada & Sarah Wordsworth & Dean A. Regier & Matthew Quaife, 2022. "Utility maximization versus regret minimization in health choice behavior: Evidence from four datasets," Health Economics, John Wiley & Sons, Ltd., vol. 31(2), pages 363-381, February.
    7. Robert J. Johnston & Kevin J. Boyle & Wiktor (Vic) Adamowicz & Jeff Bennett & Roy Brouwer & Trudy Ann Cameron & W. Michael Hanemann & Nick Hanley & Mandy Ryan & Riccardo Scarpa & Roger Tourangeau & Ch, 2017. "Contemporary Guidance for Stated Preference Studies," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 4(2), pages 319-405.
    8. Marta Trapero-Bertran & Beatriz Rodríguez-Martín & Julio López-Bastida, 2019. "What attributes should be included in a discrete choice experiment related to health technologies? A systematic literature review," PLOS ONE, Public Library of Science, vol. 14(7), pages 1-15, July.
    9. Holte, Jon Helgheim & Kjaer, Trine & Abelsen, Birgit & Olsen, Jan Abel, 2015. "The impact of pecuniary and non-pecuniary incentives for attracting young doctors to rural general practice," Social Science & Medicine, Elsevier, vol. 128(C), pages 1-9.
    10. Swait, J. & de Bekker-Grob, E.W., 2022. "A discrete choice model implementing gist-based categorization of alternatives, with applications to patient preferences for cancer screening and treatment," Journal of Health Economics, Elsevier, vol. 85(C).
    11. Mandy Ryan & Nicolas Krucien & Frouke Hermens, 2018. "The eyes have it: Using eye tracking to inform information processing strategies in multi‐attributes choices," Health Economics, John Wiley & Sons, Ltd., vol. 27(4), pages 709-721, April.
    12. John C. Whitehead & Daniel K. Lew, 2020. "Estimating recreation benefits through joint estimation of revealed and stated preference discrete choice data," Empirical Economics, Springer, vol. 58(4), pages 2009-2029, April.
    13. Gafni, Amiram & Birch, Stephen, 2006. "Incremental cost-effectiveness ratios (ICERs): The silence of the lambda," Social Science & Medicine, Elsevier, vol. 62(9), pages 2091-2100, May.
    14. de Bekker-Grob, E.W. & Donkers, B. & Bliemer, M.C.J. & Veldwijk, J. & Swait, J.D., 2020. "Can healthcare choice be predicted using stated preference data?," Social Science & Medicine, Elsevier, vol. 246(C).
    15. Galárraga, Omar & Kuo, Caroline & Mtukushe, Bulelwa & Maughan-Brown, Brendan & Harrison, Abigail & Hoare, Jackie, 2020. "iSAY (incentives for South African youth): Stated preferences of young people living with HIV," Social Science & Medicine, Elsevier, vol. 265(C).
    16. Buckell, John & Hess, Stephane, 2019. "Stubbing out hypothetical bias: improving tobacco market predictions by combining stated and revealed preference data," Journal of Health Economics, Elsevier, vol. 65(C), pages 93-102.
    17. Kathleen Manipis & Brendan Mulhern & Philip Haywood & Rosalie Viney & Stephen Goodall, 2023. "Estimating the willingness-to-pay to avoid the consequences of foodborne illnesses: a discrete choice experiment," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 24(5), pages 831-852, July.
    18. Liebe, Ulf & Glenk, Klaus & von Meyer-Höfer, Marie & Spiller, Achim, 2019. "A web survey application of real choice experiments," Journal of choice modelling, Elsevier, vol. 33(C).
    19. Oedingen, Carina & Bartling, Tim & Schrem, Harald & Mühlbacher, Axel C. & Krauth, Christian, 2021. "Public preferences for the allocation of donor organs for transplantation: A discrete choice experiment," Social Science & Medicine, Elsevier, vol. 287(C).
    20. de Bresser, Jochem & Knoef, Marike & van Ooijen, Raun, 2022. "Preferences for in-kind and in-cash home care insurance," Journal of Health Economics, Elsevier, vol. 84(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:socmed:v:246:y:2020:i:c:s0277953619307701. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/315/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.