1. Cost-Effectiveness of health programs April 17, 2000
Presented by
Donald S. Shepard, Ph.D.
Schneider Institute for Health Policy
Heller School, Room 122A, Mail Stop 035
Brandeis University
Waltham, MA
Tel: • Fax:
Web:
Brandeis University
April 10, 2000

2. Applications of cost-effectiveness analysis
Shows extension of effectiveness studies
Shows uses of models

3. Next Class Monday, May 1, 2000 Start at 6:30 pm (half hour later)
Continue to 9:30 pm (half hour later)

4. Cost-effectiveness ratio
CE = (CRx - CCHD + CNonCHD)
LE
Where variables are expected lifetime values:
CRx = cost of a regimen of drug therapy
CCHD = savings in medical care costs from reducing CHD events
CNonCHD = cost of treating non-CHD events over additional years of life
LE = increase in life expectancy.

5. Cost-effectiveness of lovastatin
Hamilton VH et al.
JAMA 1995; 273:

6. Table 4, age 50, high risk
Man: Canadian $ 17, 231 / year of life saved
Woman: Canadian $37,453 / year of life saved
Man US $ per year saved
Woman US $ per year saved