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Revising the RAWP formula: indexing deprivation and modelling demand

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  • Roy A Carr-Hill

    (Centre for Health Economics, The University of York)

Abstract

The RAWP formula for the allocation of health care resources between Regional Health Authorities is being revised. It is being suggested that a socio-economic factor should be included as a measure of deprivation as well as the mortality rates. The favoured measure, the Jarman index, is methodologically confused, based on out-of-date data, and uninterpretable. Further, the analysis which has been commissioned appears to reply on hospital use data as a proxy for need. This is essentially a conservative approach and will need to a formula reflecting existing practices rather than need. Proposed ‘adjustments’ for availability are inadequate in the absence of a full-scale model. The derivation of a formula should be theoretically based, it should take proper account of supplier-induced demand, and there should be explicit and comprehensible criteria for accepting a formula as an improvement on the current one.

Suggested Citation

  • Roy A Carr-Hill, 1988. "Revising the RAWP formula: indexing deprivation and modelling demand," Working Papers 041chedp, Centre for Health Economics, University of York.
  • Handle: RePEc:chy:respap:41chedp
    as

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    File URL: http://www.york.ac.uk/media/che/documents/papers/discussionpapers/CHE%20Discussion%20Paper%2041.pdf
    File Function: First version, 1988
    Download Restriction: no
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    Keywords

    RAWP;

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