Analytical Focus |
Maximisation |
Optimisation |
Perspective on value |
Consumer perspective (selfish ‘use value’) |
Citizen’s or social perspective (including risk aversion, caring, externalities and sharing) |
Perspective on cost |
Individual (patient) |
Citizen (tax payer) |
Social objective |
Maximum ‘health’ defined by QALYs, ie utility weighted life years |
Fair sharing: criteria based upon social preferences: reflecting equity and/or rights |
Evaluation method |
CUA CBA CEA |
Social Cost Value Analysis |
Criterion for funding |
Cost/QALY < threshold, |
Presumed entitlement |
Funding formula |
If criterion met, then services generally funding |
Level of treatment varies with attributes such as rights/equity, cost effectiveness |
Exclusions from care |
Yes: Cost/QALY >Threshold |
Few (except for extreme cases, usually milk and self-limiting health problems) |
Caveat |
Ad hoc adjustment for (to date) undefined ‘equity’ |
Systematic adjustment, with budgetary impact and/or cost effectiveness per citizen |
Role of cost |
Pivotal: maximum benefit ← min cost/QALY |
Secondary: alters the intensity of care |
Ethical basis |
Preference Utilitarianism |
Communitarianism: satisfaction of social preferences |