Value of a QALY


Health Economics

  • In cost-effectiveness or cost-utility analysis studies (CEA or CUA) the nature of the study has often been selected precisely in order not to place a value, such as willingness-to-pay, on the outcome measure such as the QALY. Not surprisingly, however, there has been interest both in turning a CEA or CUA into a cost-benefit study by monetizing outcomes and in testing the consistency of the political judgments about types of output and the budgets assigned to their production by comparing the shadow price of the budget (its incremental cost-effectiveness) with what members of the public appear to be willing to pay for incremental QALYs.