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Reducing the Societal Burden of Depression

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  • Julie Donohue
  • Harold Pincus

Abstract

Depression is a highly prevalent condition that results in substantial functional impairment. Advocates have attempted in recent years to make the ‘business case’ for investing in quality improvement efforts in depression care, particularly in primary care settings. The business case suggests that the costs of depression treatment may be offset by gains in worker productivity and/or reductions in other healthcare spending. In this paper, we review the evidence in support of this argument for improving the quality of depression treatment. We examined the impact of depression on two of the primary drivers of the societal burden of depression: healthcare utilisation and worker productivity. Depression leads to higher healthcare utilisation and spending, most of which is not the result of depression treatment costs. Depression is also a leading cause of absenteeism and reduced productivity at work. It is clear that the economic burden of depression is substantial; however, critical gaps in the literature remain and need to be addressed. For instance, we do not know the economic burden of untreated and/or inappropriately treated versus appropriately treated depression. There remain considerable problems with access to and quality of depression treatment. Progress has been made in terms of access to care, but quality of care is seldom consistent with national treatment guidelines. A wide range of effective treatments and care programmes for depression are available, yet rigorously tested clinical models to improve depression care have not been widely adopted by healthcare systems. Barriers to improving depression care exist at the patient, healthcare provider, practice, plan and purchaser levels, and may be both economic and non-economic. Studies evaluating interventions to improve the quality of depression treatment have found that the cost per QALY associated with improved depression care ranges from a low of $US2519 to a high of $US49 500. We conclude from our review of the literature that effective treatment of depression is cost effective, but that evidence of a medical or productivity cost offset for depression treatment remains equivocal, and this points to the need for further research in this area. Copyright Adis Data Information BV 2007

Suggested Citation

  • Julie Donohue & Harold Pincus, 2007. "Reducing the Societal Burden of Depression," PharmacoEconomics, Springer, vol. 25(1), pages 7-24, January.
  • Handle: RePEc:spr:pharme:v:25:y:2007:i:1:p:7-24
    DOI: 10.2165/00019053-200725010-00003
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    References listed on IDEAS

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    1. Susan L. Ettner & Richard G. Frank & Ronald C. Kessler, 1997. "The Impact of Psychiatric Disorders on Labor Market Outcomes," NBER Working Papers 5989, National Bureau of Economic Research, Inc.
    2. Thomas DeLeire & Willard Manning, 2004. "Labor market costs of illness: prevalence matters," Health Economics, John Wiley & Sons, Ltd., vol. 13(3), pages 239-250, March.
    3. Berndt, Ernst R. & Finkelstein, Stan N. & Greenberg, Paul E. & Howland, Robert H. & Keith, Alison & Rush, A. John & Russell, James & Keller, Martin B., 1998. "Workplace performance effects from chronic depression and its treatment," Journal of Health Economics, Elsevier, vol. 17(5), pages 511-535, October.
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    1. Min Shao & Jianwei Chen & Chao Ma, 2022. "Research on the Relationship between Chinese Elderly Health Status, Social Security, and Depression," IJERPH, MDPI, vol. 19(12), pages 1-10, June.
    2. Susan Caplan & Steven Buyske, 2015. "Depression, Help-Seeking and Self-Recognition of Depression among Dominican, Ecuadorian and Colombian Immigrant Primary Care Patients in the Northeastern United States," IJERPH, MDPI, vol. 12(9), pages 1-25, August.
    3. SangNam Ahn & Seonghoon Kim & Hongmei Zhang, 2016. "Changes in Depressive Symptoms among Older Adults with Multiple Chronic Conditions: Role of Positive and Negative Social Support," IJERPH, MDPI, vol. 14(1), pages 1-11, December.
    4. Matthew Lang, 2013. "The Impact Of Mental Health Insurance Laws On State Suicide Rates," Health Economics, John Wiley & Sons, Ltd., vol. 22(1), pages 73-88, January.
    5. Maria Chiu & Michael Lebenbaum & Joyce Cheng & Claire de Oliveira & Paul Kurdyak, 2017. "The direct healthcare costs associated with psychological distress and major depression: A population-based cohort study in Ontario, Canada," PLOS ONE, Public Library of Science, vol. 12(9), pages 1-13, September.
    6. W. David Bradford & William D. Lastrapes, 2014. "A Prescription For Unemployment? Recessions And The Demand For Mental Health Drugs," Health Economics, John Wiley & Sons, Ltd., vol. 23(11), pages 1301-1325, November.
    7. de Bruin, Simone R. & Heijink, Richard & Lemmens, Lidwien C. & Struijs, Jeroen N. & Baan, Caroline A., 2011. "Impact of disease management programs on healthcare expenditures for patients with diabetes, depression, heart failure or chronic obstructive pulmonary disease: A systematic review of the literature," Health Policy, Elsevier, vol. 101(2), pages 105-121, July.

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