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Reference‐dependent age weighting of quality‐adjusted life years

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  • Arthur E. Attema
  • Werner B. F. Brouwer
  • Jose Luis Pinto‐Prades

Abstract

People do not only care about maximizing health gains but also about their distribution. For example, they give more weight to younger patients than older patients. This pilot study aims to investigate if age weighting is reinforced by loss aversion if young people are falling behind one's perceived ‘normal’ quality of life (QoL), while older people do not. We apply a person trade‐off method in a large representative sample (n = 990) to estimate age weighting factors. We also measure QoL levels that individuals regard as ‘normal’ for different ages, serving as reference points. We observe a considerable amount of age weighting, with 20‐year‐old patients on average receiving 1.7 times as much weight as 80‐year‐old patients. Perceived ‘normal’ QoL rapidly decreases with age of a patient. Older people are more optimistic about what constitutes ‘normal QoL’ than younger people, but they express a faster decline in normal QoL due to aging. Respondents who view all improvements to be gain enlarging show the least age weighting, but loss aversion cannot explain the results. Still, one's age‐related reference level is an important predictor of age weights. Given the explorative nature of this study, further studies are called for to generate more robust evidence.

Suggested Citation

  • Arthur E. Attema & Werner B. F. Brouwer & Jose Luis Pinto‐Prades, 2022. "Reference‐dependent age weighting of quality‐adjusted life years," Health Economics, John Wiley & Sons, Ltd., vol. 31(12), pages 2515-2536, December.
    • Handle: RePEc:wly:hlthec:v:31:y:2022:i:12:p:2515-2536
    DOI: 10.1002/hec.4593
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