Cost effectiveness

A cost-effectiveness analysis compares the changes in costs and in health effects of introducing a test, to assess the extent to which the test can be regarded as providing value for money.

Example

  • Point of care testing (PoCT) in general practice: A cost-effectiveness analysis based on an RCT of nearly 5,000 patients followed up for 18 months in Australian general practices compared the incremental costs and health outcomes associated with a clinical strategy of PoCT for INR, HbA1c, lipids, and albumin:creatinine ratio (ACR) to those of pathology laboratory testing. Under base-case assumptions, PoCT was more cost-effective and effective for ACR than standard pathology. For HbA1c, POCT was more expensive but also more effective than standard pathology with an incremental cost-effectiveness ratio of $40 per patient maintained in the therapeutic range, while INR was more costly but less effective and therefore not cost-effective.

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