IDEAS home Printed from https://ideas.repec.org/a/spr/aphecp/v19y2021i2d10.1007_s40258-020-00632-2.html
   My bibliography  Save this article

How Many Intensive Care Beds are Justifiable for Hospital Pandemic Preparedness? A Cost-effectiveness Analysis for COVID-19 in Germany

Author

Listed:
  • Afschin Gandjour

    (Frankfurt School of Finance and Management)

Abstract

Introduction Germany is experiencing the second COVID-19 pandemic wave. The intensive care unit (ICU) bed capacity is an important consideration in the response to the pandemic. The purpose of this study was to determine the costs and benefits of maintaining or expanding a staffed ICU bed reserve capacity in Germany. Methods This study compared the provision of additional capacity to no intervention from a societal perspective. A decision model was developed using, e.g. information on age-specific fatality rates, ICU costs and outcomes, and the herd protection threshold. The net monetary benefit (NMB) was calculated based upon the willingness to pay for new medicines for the treatment of cancer, a condition with a similar disease burden in the near term. Results The marginal cost-effectiveness ratio (MCER) of the last bed added to the existing ICU capacity is €21,958 per life-year gained assuming full bed utilization. The NMB decreases with an additional expansion but remains positive for utilization rates as low as 2%. In a sensitivity analysis, the variables with the highest impact on the MCER were the mortality rates in the ICU and after discharge. Conclusions This article demonstrates the applicability of cost-effectiveness analysis to policies of hospital pandemic preparedness and response capacity strengthening. In Germany, the provision of a staffed ICU bed reserve capacity appears to be cost-effective even for a low probability of bed utilization.

Suggested Citation

  • Afschin Gandjour, 2021. "How Many Intensive Care Beds are Justifiable for Hospital Pandemic Preparedness? A Cost-effectiveness Analysis for COVID-19 in Germany," Applied Health Economics and Health Policy, Springer, vol. 19(2), pages 181-190, March.
  • Handle: RePEc:spr:aphecp:v:19:y:2021:i:2:d:10.1007_s40258-020-00632-2
    DOI: 10.1007/s40258-020-00632-2
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40258-020-00632-2
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s40258-020-00632-2?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. Afschin Gandjour, 2006. "Consumption costs and earnings during added years of life ‐ a reply to Nyman," Health Economics, John Wiley & Sons, Ltd., vol. 15(3), pages 315-317, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Journal round-up: Applied Health Economics and Health Policy 19(2)
      by karanshahk2 in The Academic Health Economists' Blog on 2021-04-19 06:00:07

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bernard Michael Gilroy & Marie Wegener & Christian Peitz, 2021. "COVID-19 and Triage - A Public Health Economic Analysis of a Scarcity Problem," Working Papers CIE 147, Paderborn University, CIE Center for International Economics.
    2. Waitzberg, Ruth & Gerkens, Sophie & Dimova, Antoniya & Bryndová, Lucie & Vrangbæk, Karsten & Jervelund, Signe Smith & Birk, Hans Okkels & Rajan, Selina & Habicht, Triin & Tynkkynen, Liina-Kaisa & Kesk, 2022. "Balancing financial incentives during COVID-19: A comparison of provider payment adjustments across 20 countries," Health Policy, Elsevier, vol. 126(5), pages 398-407.
    3. Frank Daumann & Florian Follert & Werner Gleißner & Endre Kamarás & Chantal Naumann, 2021. "Political Decision Making in the COVID-19 Pandemic: The Case of Germany from the Perspective of Risk Management," IJERPH, MDPI, vol. 19(1), pages 1-23, December.
    4. Florian Follert & Werner Gleißner & Dominik Möst, 2021. "What Can Politics Learn from Management Decisions? A Case Study of Germany’s Exit from Nuclear Energy after Fukushima," Energies, MDPI, vol. 14(13), pages 1-15, June.

    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. Bengt Liljas, 2011. "Welfare, QALYs, and costs – a comment," Health Economics, John Wiley & Sons, Ltd., vol. 20(1), pages 68-72, January.
    2. Douglas Lundin & Joakim Ramsberg, 2008. "On survival consumption costs – a reply to Nyman," Health Economics, John Wiley & Sons, Ltd., vol. 17(2), pages 293-297, February.
    3. Afschin Gandjour & Dirk Müller, 2014. "Ethical Objections Against Including Life-Extension Costs in Cost-Effectiveness Analysis: A Consistent Approach," Applied Health Economics and Health Policy, Springer, vol. 12(5), pages 471-476, October.
    4. Liqun Liu & Andrew J. Rettenmaier & Thomas R. Saving, 2012. "Endogenous Patient Responses and the Consistency Principle in Cost-Effectiveness Analysis," Medical Decision Making, , vol. 32(3), pages 488-497, May.
    5. Marie Kruse & Jan Sørensen & Dorte Gyrd-Hansen, 2012. "Future costs in cost-effectiveness analysis: an empirical assessment," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 13(1), pages 63-70, February.
    6. Charles Christian Adarkwah & Amirhossein Sadoghi & Afschin Gandjour, 2016. "Should Cost‐Effectiveness Analysis Include the Cost of Consumption Activities? AN Empirical Investigation," Health Economics, John Wiley & Sons, Ltd., vol. 25(2), pages 249-256, February.
    7. Daniel Grima & Lisa Bernard & Elizabeth Dunn & Philip McFarlane & David Mendelssohn, 2012. "Cost-Effectiveness Analysis of Therapies for Chronic Kidney Disease Patients on Dialysis," PharmacoEconomics, Springer, vol. 30(11), pages 981-989, November.
    8. Linda M. Vries & Pieter H. M. Baal & Werner B. F. Brouwer, 2019. "Future Costs in Cost-Effectiveness Analyses: Past, Present, Future," PharmacoEconomics, Springer, vol. 37(2), pages 119-130, February.
    9. Erik Nord & Christoffer Lamøy, 2018. "Including Future Consumption and Production in Economic Evaluation of Interventions that Save Life-Years: Commentary," PharmacoEconomics - Open, Springer, vol. 2(4), pages 357-358, December.
    10. John A. Nyman, 2011. "Measurement of QALYS and the welfare implications of survivor consumption and leisure forgone," Health Economics, John Wiley & Sons, Ltd., vol. 20(1), pages 56-67, January.
    11. Matthijs Versteegh & Saskia Knies & Werner Brouwer, 2016. "From Good to Better: New Dutch Guidelines for Economic Evaluations in Healthcare," PharmacoEconomics, Springer, vol. 34(11), pages 1071-1074, November.
    12. Bengt Liljas & Göran S. Karlsson & Nils‐Olov Stålhammar, 2008. "On future non‐medical costs in economic evaluations," Health Economics, John Wiley & Sons, Ltd., vol. 17(5), pages 579-591, May.

    More about this item

    Statistics

    Access and download statistics

    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:spr:aphecp:v:19:y:2021:i:2:d:10.1007_s40258-020-00632-2. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.