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Limitations of Acceptability Curves for Presenting Uncertainty in Cost-Effectiveness Analysis

Author

Listed:
  • Bas Groot Koerkamp

    (Harvard Center for Risk Analysis, Department of Health Policy and Management, Harvard School of Public Health, Boston, Massachusetts, Departments of Epidemiology & Biostatistics and Radiology, Erasmus MC, Rotterdam, the Netherlands, Department of Surgery, Academic Medical Center, Amsterdam, the Netherlands)

  • M.G. Myriam Hunink

    (Harvard Center for Risk Analysis, Department of Health Policy and Management, Harvard School of Public Health, Boston, Massachusetts, Departments of Epidemiology & Biostatistics and Radiology, Erasmus MC, Rotterdam, the Netherlands, m.hunink@erasmusmc.nl)

  • Theo Stijnen

    (Departments of Epidemiology & Biostatistics and Radiology, Erasmus MC, Rotterdam, the Netherlands)

  • James K. Hammitt

    (Harvard Center for Risk Analysis, Department of Health Policy and Management, Harvard School of Public Health, Boston, Massachusetts)

  • Karen M. Kuntz

    (Harvard Center for Risk Analysis, Department of Health Policy and Management, Harvard School of Public Health, Boston, Massachusetts)

  • Milton C. Weinstein

    (Harvard Center for Risk Analysis, Department of Health Policy and Management, Harvard School of Public Health, Boston, Massachusetts)

Abstract

Clinical journals increasingly illustrate uncertainty about the cost and effect of health care interventions using cost-effectiveness acceptability curves (CEACs). CEACs present the probability that each competing alternative is optimal for a range of values of the cost-effectiveness threshold. The objective of this article is to demonstrate the limitations of CEACs for presenting uncertainty in cost-effectiveness analyses. These limitations arise because the CEAC is unable to distinguish dramatically different joint distributions of incremental cost and effect. A CEAC is not sensitive to any change of the incremental joint distribution in the upper left and lower right quadrants of the cost-effectiveness plane; neither is it sensitive to radial shift of the incremental joint distribution in the upper right and lower left quadrants. As a result, CEACs are ambiguous to risk-averse policy makers, inhibit integration with risk attitude, hamper synthesis with other evidence or opinions, and are unhelpful to assess the need for more research. Moreover, CEACs may mislead policy makers and can incorrectly suggest medical importance. Both for guiding immediate decisions and for prioritizing future research, these considerable drawbacks of CEACs should make us rethink their use in communicating uncertainty. As opposed to CEACs, confidence and credible intervals do not conflate magnitude and precision of the net benefit of health care interventions. Therefore, they allow (in)formal synthesis of study results with risk attitude and other evidence or opinions. Presenting the value of information in addition to these intervals allows policy makers to evaluate the need for more empirical research.

Suggested Citation

  • Bas Groot Koerkamp & M.G. Myriam Hunink & Theo Stijnen & James K. Hammitt & Karen M. Kuntz & Milton C. Weinstein, 2007. "Limitations of Acceptability Curves for Presenting Uncertainty in Cost-Effectiveness Analysis," Medical Decision Making, , vol. 27(2), pages 101-111, March.
    • Handle: RePEc:sae:medema:v:27:y:2007:i:2:p:101-111
    DOI: 10.1177/0272989X06297394
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    References listed on IDEAS

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    1. William C. Black, 1990. "The CE Plane," Medical Decision Making, , vol. 10(3), pages 212-214, August.
    2. Claxton, Karl, 1999. "The irrelevance of inference: a decision-making approach to the stochastic evaluation of health care technologies," Journal of Health Economics, Elsevier, vol. 18(3), pages 341-364, June.
    3. David M. Kent & A. Mark Fendrick & Kenneth M. Langa, 2004. "New and Dis-Improved: On the Evaluation and Use of Less Effective, Less Expensive Medical Interventions," Medical Decision Making, , vol. 24(3), pages 281-286, June.
    4. Poole, C., 1987. "Beyond the confidence interval," American Journal of Public Health, American Public Health Association, vol. 77(2), pages 195-199.
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    Citations

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    Cited by:

    1. Michal Jakubczyk, 2016. "Choosing from multiple alternatives in cost-effectiveness analysis with fuzzy willingness-to-pay/accept and uncertainty," KAE Working Papers 2016-006, Warsaw School of Economics, Collegium of Economic Analysis.
    2. Dirk Müller & Eleanor Pullenayegum & Afschin Gandjour, 2015. "Impact of small study bias on cost-effectiveness acceptability curves and value of information analyses," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 16(2), pages 219-223, March.
    3. Nikki McCaffrey & Meera Agar & Janeane Harlum & Jonathon Karnon & David Currow & Simon Eckermann, 2015. "Better Informing Decision Making with Multiple Outcomes Cost-Effectiveness Analysis under Uncertainty in Cost-Disutility Space," PLOS ONE, Public Library of Science, vol. 10(3), pages 1-19, March.
    4. repec:osf:socarx:gjbcp_v1 is not listed on IDEAS

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