For this discussion, suppose you work for a healthcare organization and your local government is considering establishing something called a health effectiveness analysis program (HEAP). The purpose of this program would be to look for areas of intervention that would promote health and save money for the state and its people.
You have been asked to write a brief memo for your organization's leadership. Using the example of childhood immunizations, identify and briefly discuss three or more issues or questions that are likely to arise in making economic evaluations (e.g., cost–benefit or cost-effectiveness analyses) of health interventions. What impact would this intervention have on demand and consumer behavior in the long run?
Textbook: Health Economics and Policy, Chapters 3 (review), and 4
Textbook link: https://bncvirtual.com/vb_econtent.php?ACTION=econtent&FVENCKEY=AD9EE8D798DCAFC7E76B5FB7C978DD86&j=43766531&sfmc_sub=1597096465&l=23329524_HTML&u=695880241&mid=524003857&jb=40753&utm_term=10242022&utm_source=transactional&utm_medium=email&utm_campaign=Direct_Ebooks
Full Answer Section
- The effectiveness of the intervention: Immunizations are not 100% effective, and the effectiveness of the intervention needs to be considered when evaluating its cost-effectiveness.
- The distribution of benefits and costs: The benefits and costs of immunizations may not be evenly distributed across the population, and this needs to be considered when evaluating the intervention.
In addition to these issues, it is also important to consider the impact that HEAP would have on demand and consumer behavior in the long run. If HEAP is successful in identifying cost-effective interventions, it could lead to an increase in demand for these interventions. This could put a strain on resources, and it is important to plan for this possibility.
I believe that the potential benefits of HEAP outweigh the potential risks. Immunizations are a proven way to prevent serious diseases, and they can save money in the long run. I urge you to support the development of HEAP and to consider childhood immunizations as a potential area of focus.
Thank you for your time and consideration.
Sincerely, [Your Name]
Sample Answer
Dear Leadership,
I am writing to you today to discuss the potential impact of a health effectiveness analysis program (HEAP) on our organization. HEAP is a program that would look for areas of intervention that would promote health and save money for the state and its people. I believe that childhood immunizations would be a great area for HEAP to focus on.
There are a number of issues or questions that are likely to arise in making economic evaluations of health interventions, such as childhood immunizations. These include:
- The cost of the intervention: Immunizations are not free, and the cost of the intervention needs to be considered when evaluating its effectiveness.
- The benefits of the intervention: Immunizations can prevent a number of serious diseases, and the benefits of these preventions need to be weighed against the cost of the intervention.