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Productivity costs in economic evaluations: past, present, future
Marieke Krol1, Werner Brouwer, Frans Rutten
1Department of Health Policy and Management, Erasmus University, P.O. Box 1738, 3000 DR, Rotterdam, The Netherlands. krol@bmg.eur.nl
Pharmacoeconomics
|April 27, 2013
Summary
Productivity costs, impacted by illness and disability, are debated in health economic evaluations. Consensus on their inclusion and measurement remains elusive, hindering standardized cost estimation.
Area of Science:
- Health Economics
- Pharmacoeconomics
- Outcomes Research
Background:
- Productivity costs arise from illness, treatment, disability, or premature death, affecting individual and economic output.
- Debates persist regarding the inclusion and measurement of productivity costs, particularly those linked to paid work, in economic evaluations of health technologies.
Purpose of the Study:
- To review the developments in the inclusion, identification, measurement, and valuation of productivity costs in economic evaluations.
- To analyze the ongoing debates and challenges in estimating health-related productivity costs.
Main Methods:
- Systematic literature review of past and current developments in productivity cost estimation.
- Analysis of theoretical and practical approaches to measuring and valuing productivity costs.
Main Results:
- Progress has been made, but significant uncertainties remain regarding the influence of presenteeism and multiplier effects on costs.
- Various measurement instruments and valuation approaches exist, but no single method is universally accepted as most accurate.
- Despite empirical support for including productivity costs, consensus on the best valuation method (human capital vs. friction cost) is lacking.
Conclusions:
- A lack of consensus on the inclusion and methods for estimating productivity costs hinders standardization in economic evaluations.
- Further research and standardization are crucial to improve the credibility and comparability of economic evaluations from a societal perspective.
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