Valuing health using an experimental auction approach
Presented by A/Prof Joshua Byrnes, from Griffith University
When: Thursday 6th June, 11am-12pm
Where: Macquarie University, Finance Decision Lab, Room 110, 4 Eastern Road
This seminar is free, just register by 5th June 2019. Please register at: https://www.eventbrite.com.au/e/aprof-joshua-byrnes-on-valuing-health-using-experimental-auction-approach-tickets-62127316476
Existing methods to estimate health state utility weights exhibit limitations in terms of complexity, validity and reliability. This research uses a novel method for eliciting the relative and absolute value of health-related quality of life based upon experimental auctions.
Using a convenient sample approach, 120 individuals were invited to participate in 24 auctions. In each auction, health states were described by the common EQ-5D-3L multi-attribute utility instrument. The mean annualised budget share value for each health state was estimated and correlated against the commonly used Australian utility weights previously estimated from the Time-Trade-Off approach. To explore reliability a re-test was also conducted for two of the auctions held two weeks after the initial test.
The Pearson correlation between estimates derived from the experimental auctions and the commonly used Australian TTO utility estimates is 0.89 and the intra-class correlation (ICC) estimate is 0.89. From two re-test auctions, the ICC estimates were 0.89 and 0.99 respectively. Participants reported the auction method was as easy to understand as arranging health states in ascending order.
This study has demonstrated that experimental auctions present a feasible, consistent and reliable approach to estimate the relative and absolute monetary value of health states.
Dr Joshua Byrnes is an Associate Professor at the Centre for Applied Health Economics within the School of Medicine at Griffith University (Australia). He is currently the President-Elect for the Australian chapter of the International Society for Pharmacoeconomics and Health Outcomes Research. He lectures frequently at local, regional, national and international conferences on topics related to value based health.