This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

Preferences for 'life-saving' programmes: Small for all or gambling for the prize?

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
Dorte Gyrd-Hansen
Ivar Sønbø Kristiansen
Abstract

Much of the literature on the value of life is based on the valuation of small reductions in mortality risk with many remaining life years if the fatal outcome is avoided. In contrast, this paper explores valuations of interventions which with varying probability levels offer smaller or moderate life year health gains. We interviewed 2900 respondents about hypothetical therapies that involved life year gains in the range of 1-180 months with a probability of 1 to 1|180, presented both in individual and societal perspectives. The results of the study indicate that the value of the hypothetical treatments is not a simple function of probability and gain. Rather, respondents seem to adopt thresholds when they value treatment offers. This results in kinked utility functions where the expected individual utility is significantly decreased when the gain in life expectancy is 6 months or less, and markedly increased if the probability of gains exceeds 1|12. There were only small differences in valuations across the individual and societal perspectives, suggesting that preferences for dispersion of health gains are not only a reflection of equity considerations. If the results of this study reflect widespread preferences, the standard methods in cost-effectiveness|cost-utility analysis may misinform decision makers. Copyright © 2007 John Wiley & Sons, Ltd.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help file. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://hdl.handle.net/10.1002/hec.1288
File Format: text/html
File Function: Link to full text; subscription required
Download Restriction: no

Publisher Info
Article provided by John Wiley & Sons, Ltd. in its journal Health Economics.

Volume (Year): 17 (2008)
Issue (Month): 6 ()
Pages: 709-720
Download reference. The following formats are available: HTML, plain text, BibTeX, RIS (EndNote), ReDIF
Handle: RePEc:wly:hlthec:v:17:y:2008:i:6:p:709-720

Contact details of provider:
Web page: http://www3.interscience.wiley.com/cgi-bin/jhome/5749

For technical questions regarding this item, or to correct its listing, contact: (Christopher F. Baum).

Related research
Keywords:

Other versions of this item:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Dorte Gyrd-Hansen & Jes Søgaard, 1998. "Discounting life-years: whither time preference?," Health Economics, John Wiley & Sons, Ltd., vol. 7(2), pages 121-127.
  2. Andrew J Lloyd, 2003. "Threats to the estimation of benefit: are preference elicitation methods accurate?," Health Economics, John Wiley & Sons, Ltd., vol. 12(5), pages 393-402. [Downloadable!]
  3. Paul Dolan & Rebecca Shaw & Aki Tsuchiya & Alan Williams, 2005. "QALY maximisation and people's preferences: a methodological review of the literature," Health Economics, John Wiley & Sons, Ltd., vol. 14(2), pages 197-208. [Downloadable!]
  4. Kahneman, Daniel & Tversky, Amos, 1979. "Prospect Theory: An Analysis of Decision under Risk," Econometrica, Econometric Society, vol. 47(2), pages 263-91, March. [Downloadable!] (restricted)
  5. Johannesson, Magnus & Gerdtham, Ulf-G, 1996. "A note on the estimation of the equity-efficiency trade-off for QALYs," Journal of Health Economics, Elsevier, vol. 15(3), pages 359-368, June. [Downloadable!] (restricted)
  6. Gyrd-Hansen, Dorte, 2004. "Investigating the social value of health changes," Journal of Health Economics, Elsevier, vol. 23(6), pages 1101-1116, November. [Downloadable!] (restricted)
  7. Eva Rodríguez-Míguez & José-Luis Pinto-Prades, 2002. "Measuring the social importance of concentration or dispersion of individual health benefits," Health Economics, John Wiley & Sons, Ltd., vol. 11(1), pages 43-53. [Downloadable!]
Full references

Statistics
Access and download statistics

Did you know? IDEAS was launched in September 1997.

This page was last updated on 2008-9-24.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.