Healthcare Economist February 25, 2025
Quality-adjusted life years (QALYs) are commonly used to evaluate the impact of new medical technologies on patient mortality and morbidity. However, use of QALYs
Many authors have discussed the fact that standard assumptions result in utility functions that are unrealistically linear and separable, overlooking the diminishing marginal utility a fundamental property of utility functions in economics.
A paper by Johnson et al. (2024) conduct a discrete-choice experiment (DCE) in order to quantify patient preferences over treatments for major depressive disorder (MDD) in order to test for diminishing marginal utility and path dependence. In the study, they offered respondents different symptoms sequences of severe, moderate and mild depression and estimated a willingness to pay for each. A deductive latent-class...
Today's Sponsors
Today's Sponsor