Anthony O'Hagan and John W. Stevens
Statistical Services Unit, University of Sheffield, Sheffield, England and Astra Charnwood, Loughborough, England
Publication details: Health Economics, 10, 302-315, 2001.
We present a general Bayesian framework for cost-effectiveness analysis from clinical trial data. This framework allows for very flexible modelling of both cost and efficacy related trial data. A common cost-effectiveness analysis technique is established for this wide class of models through linking mean efficacy and mean cost to the parameters of any given model.
Examples are given in which efficacy may be measured as a continuous, binary, ordinal or time-to-event outcome, and in which costs are modelled as distributed normally, lognormally, as a mixture or nonparametrically.
A case study is presented, illustrating the methodology and illuminating the role of prior information.
Keywords: Bayesian Analysis; Cost-effectiveness Acceptability Curve; Lognormal Distribution; Net Benefit; Normal Distribution; Outcomes.