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Medical Decision Making: A Health Economic Primer

Medical Decision Making: A Health Economic Primer

Hardcover

Business GeneralEconomicsMedical Reference

ISBN10: 3662646536
ISBN13: 9783662646533
Publisher: Springer
Published: Apr 5 2022
Pages: 316
Weight: 1.44
Height: 0.81 Width: 6.14 Depth: 9.21
Language: English

This textbook offers a comprehensive analysis of medical decision-making under uncertainty by combining test information theory with expected utility theory. The authors show how the parameters of Bayes' theorem can be combined with a value function of health states in order to arrive at informed test and treatment decisions in the face of diagnostic and therapeutic risks. Distinguishing between risk-neutral, risk-averse, and prudent decision-makers, they demonstrate the effects of risk preferences on medical decisions. Furthermore, they analyze individual and multiple tests as well as diagnostic models in which the decision-maker chooses the test outcome. The consequences of test and treatment decisions for the patient are encompassed by quality-adjusted life years (QALYs) and the standard economic model, which applies the willingness to pay for health approach. Lastly, non-expected utility models of choice under risk and uncertainty are presented. Although these models can explainsome of the test and treatment decisions observed, they are less suitable for normative analyses aimed at providing guidance on medical decision-making.

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Felder, Stefan

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Medical Reference