Skip to main content
. 2011 Jun 21;11:483. doi: 10.1186/1471-2458-11-483

Table 4.

Financial outcomes of all risk factors if feasible targets achieved, corrected for joint effects

All 6 risk factors 95% Uncertainty Interval
AUD millions Mean Lower Limit Upper Limit
Potential opportunity costs FCA
 Production gains/(losses) 473 (2) 1,155
  Recruitment/training costs 79 n/a n/a
 Leisure based production 110 (361) 602
 Home based production 248 (69) 568
Total production FCA 830 (109) 1,843
 Health sector offsets 1,504 1,504 1,504
Total Opportunity Cost Savings FCA 2,334 1,395 3,347
Sensitivity analysis using Human Capital Approach (HCA)
Financial Outcomes HCA
 Production gains/(losses) 1,196 (648) 3,070
 Leisure based production 110 (361) 602
 Home based production 248 (69) 568
Total production HCA 1,553 (435) 3,569
 Health sector offsets 1,504 1,504 1,504
Total Opportunity Cost Savings HCA 3,057 1,069 5,073

No probabilistic uncertainty analysis was conducted for health sector offsets because we were unable to quantify uncertainty for these point estimates. Taxation is treated as a transfer payment and should not be added to production effects or health sector offsets. HCA: Human Capital Approach; FCA Friction Cost Approach (preferred conservative estimate). Leisure and home based production estimates are based on persons 15+ years. Production gains/(losses) and taxation effects are based on persons 15-64 years. Recruitment and training costs are included in production gains/losses using the FCA, but not counted using the HCA. Values are net present value using a 3% discount rate. Numbers in brackets ( ) indicate the possibility of losses resulting from achieving the target, rather than gains.