IDEAS home Printed from https://ideas.repec.org/a/wly/hlthec/v4y1995i1p31-39.html
   My bibliography  Save this article

On approximations in treatment costing

Author

Listed:
  • David K. Whynes
  • Andrew R. Walker

Abstract

As detailed costing may be a time‐consuming and expensive exercise within an evaluation, economists will be conscious of the possibilities of taking short‐cuts. To explore the viability of such approaches in the context of acute care (the surgical treatment for colorectal cancer), we compare the results of a detailed costing study with reduced list costing and econometric estimation. We conclude, first, that use of a reduced list is likely to generate substantial research economies only at the expense of inaccuracy. Second, crude costing, based upon average costs of the specialty, is acceptable when the frame of reference is the aggregate. Such crude costing, however, is vulnerable to bias when specific sub‐samples of patients are to be considered. Finally, total costs are predictable from a restricted list of cost and event variables, and with a high degree of accuracy, although ex ante specification of the functional form is problematic.

Suggested Citation

  • David K. Whynes & Andrew R. Walker, 1995. "On approximations in treatment costing," Health Economics, John Wiley & Sons, Ltd., vol. 4(1), pages 31-39, January.
  • Handle: RePEc:wly:hlthec:v:4:y:1995:i:1:p:31-39
    DOI: 10.1002/hec.4730040104
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/hec.4730040104
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. M. Knapp & J. Beecham, 1993. "Reduced list costings: Examination of an informed short cut in mental health research," Health Economics, John Wiley & Sons, Ltd., vol. 2(4), pages 313-322, December.
    Full references (including those not matched with items on IDEAS)

    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. S. M. A. A. Evers & A. S. Van Wijk & A. J. H. A. Ament, 1997. "Economic Evaluation of Mental Health Care Interventions. A Review," Health Economics, John Wiley & Sons, Ltd., vol. 6(2), pages 161-177, March.
    2. Tarricone, Rosanna & Gerzeli, S. & Montanelli, R. & Frattura, Lucilla & Percudani, Mauro & Racagni, Giorgio, 2000. "Direct and indirect costs of schizophrenia in community psychiatric services in Italy: The GISIES study," Health Policy, Elsevier, vol. 51(1), pages 1-18, February.

    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:wly:hlthec:v:4:y:1995:i:1:p:31-39. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley Content Delivery). General contact details of provider: http://www3.interscience.wiley.com/cgi-bin/jhome/5749 .

    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 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.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.