HaDSoc Session Five: Introduction to Health Economics

What term describes the value of the best alternative forgone where, given limited resources, a choice needs to be made between several mutually exclusive alternatives?

• Opportunity cost

• Utility

• Efficiency

What term is used to define the extent to which an intervention produces desired outcomes

• Effectiveness

• Efficiency

• Utility

True or false: equity is a synonym for fairness

• True

• False

Which of the following correctly define a QALY?

• 1 year of perfect health for one person

• 1 year additional survival time for one person

• 1 year of life lost due to suboptimal healthcare for 1 person

Which of the following defines the incremental cost-effectiveness ratio (ICER)?

• The difference in cost between two possible interventions, divided by the difference in their effect.

• The ratio between the cost of two possible interventions

• The utility of the difference in cost between two possible interventions