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Age-Differentiated QALY Losses

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  • van Praag, Bernard M. S.

    ()
    (University of Amsterdam)

  • Ferrer-i-Carbonell, Ada

    ()
    (IAE Barcelona (CSIC))

Abstract

In this paper we evaluate the QALY losses, which are linked to the prevalence of specific chronic illnesses and impediments. The analysis is based on the individual self-rating health satisfaction question asked in the British Household Panel Survey data set. Our method is a refinement of the method of Cutler and Robertson (1997). First, we use more information regarding the relationship between the latent variable ‘health’ and its evaluation into observable QALY’s. Second, we allow the QALY loss caused by a illnesses to depend on age. For instance, according to our approach a 30 years old male suffering from diabetes would experience a QALY loss of 0.135 while this would be only 0.084, if the male is 60 years old.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 314.

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Length: 25 pages
Date of creation: Jun 2001
Date of revision:
Handle: RePEc:iza:izadps:dp314

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Keywords: Chronic diseases; health satisfaction; QALY loss; QALY weight;

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  1. Dustmann, Christian & Schmidt, Christoph M., 2000. "The Wage Performance of Immigrant Women: Full-Time Jobs, Part-Time Jobs, and the Role of Selection," IZA Discussion Papers 233, Institute for the Study of Labor (IZA).
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  7. Faggio, Giulia & Konings, Jozef, 2001. "Job Creation, Job Destruction and Employment Growth in Transition Countries in the 90's," IZA Discussion Papers 242, Institute for the Study of Labor (IZA).
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  9. Bardasi, Elena & Francesconi, Marco, 2000. "The Effect of Non-Standard Employment on Mental Health in Britain," IZA Discussion Papers 232, Institute for the Study of Labor (IZA).
  10. Mundlak, Yair, 1978. "On the Pooling of Time Series and Cross Section Data," Econometrica, Econometric Society, vol. 46(1), pages 69-85, January.
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  12. Fuess, Jr., Scott M. & Millea, Meghan, 2001. "Pay and Productivity in a Corporatist Economy: Evidence from Austria," IZA Discussion Papers 244, Institute for the Study of Labor (IZA).
  13. James P. Smith, 1999. "Healthy Bodies and Thick Wallets: The Dual Relation between Health and Economic Status," Journal of Economic Perspectives, American Economic Association, vol. 13(2), pages 145-166, Spring.
  14. Terza, Joseph V., 1987. "Estimating linear models with ordinal qualitative regressors," Journal of Econometrics, Elsevier, vol. 34(3), pages 275-291, March.
  15. Bernard M.S. van Praag & P. Frijters & A. Ferrer-i-Carbonell, 2000. "A Structural Model of Well-being: with an application to German Data," Tinbergen Institute Discussion Papers 00-053/3, Tinbergen Institute.
  16. repec:ese:iserwp:2000-37 is not listed on IDEAS
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