Economic Evaluation of Healthcare Services

This presentation discusses the economic evaluation of healthcare services, specifically comparing the cost-effectiveness of Phage Therapy and Nanotech Therapy. It explores the significance of health economic evaluation, methods of measurement for cost and outcome, and different types of health economic evaluation. The presentation also provides an overview of the current status of cancer in Australia and discusses Phagetherapy and Nanotherapy. It includes cost estimation for both therapies and recommends the more effective treatment. The conclusion emphasizes the importance of affordable and up-to-date therapies and the use of EQ-5D tool for assessment.

Group Assignment
Economic Evaluation of
Healthcare services

INTRODUCTION
Cost effectiveness is the
most essential
determinants of any
healthcare intervention
that guide choices of
public health among many
effective interventions

PURPOSE
Purpose of this discussion:
Compare cost-effectiveness of
Phage Therapy and Nanotech
Therapy to identify one cost-
effective service

Health Economic Evaluation
The performance of
health care services
Measure economic
efficiency
Social services
effectiveness

Significance of Health
Economic Evaluation
Adopting cost-effective
interventions
Best suitable activity can be
assessed
Identifying best suitable
healthcare service.
Improve quality of life of
people
Assessment of any health
technology and health
economics.

Method of Health Economic
Evaluation
Measurement of Cost
Value reflective of cost
cost in different categories
Long-Run and short run Cost
Distinctions
Healthcare Decision and impact

Method of Health Economic
Evaluation
Measurement of Outcome
One or Multidimensional measurement
Characterisation of Intervention Effects
Measurement of Intermediate or Final Output
Integration of Individual Preferences

Types of Health Economic
Evaluation
Cost-Utility Analysis (CUA)
Multidimensional goals
Designed for total health improvement in single
measure
Cost-Benefit Analysis (CBA)
Monetary analysis of benefits
Evaluation of cost-benefit ratio to assess
intervention feasibility

CURRENT STATUS OF CANCER IN AUSRALIA
 Causing almost 50,000 deaths Cancer
is the leading cause of death in
Australia .
 In Australia 145,000 new cases of
cancer have been diagnosed last year
 Australian men and women by the
age of 85, 50% have been diagnosed
with cancer.
 By each year around 17,500
additional number of people die from

In Australia 69% of people
diagnosed with cancer untreated
Melanoma and lung cancer are
most common cancers in Australia
In 2015, 642 people died from
non-melanoma skin cancer in
Australia.
CURRENT STATUS OF CANCER IN AUSRALIA

PHAGETHERAPY
Phagetherapy is carried out
systematically according to an
individual scheme drawn up by the
attending physician. Usually,
Phagetherapy includes a course (or
several courses) of taking certain
combinations of drugs with breaks
between them in order to restore
healthy tissues in the body.

NANO-THERAPY
A new Nanotechnology technique
has been introduced, which is
beneficial in detecting cancer cells
in the body and killing those cells.
Nano surgery changes the DNA of
the cancer cells after detecting
them and stops them from
growing by killing them

EQ-5D
Instrument for
measuring health
status
Combining weight,
time, quality-
adjusted, cost-utility
Beneficial in
economic evaluation

Utilization of EQ-5D for Health Economic Evaluation
Financial
analysis of
Phagetherapy
Financial
analysis of
Nano Therapy
Nonfinancial
analysis of
Phagetherapy
Nonfinancial
analysis of
Nano Therapy
Comparing
Cost-Benefits
Recommendatio
n

Initial Cost
Total
Expense
Operational Cost/Recurrent
Cost
Total
Expense
Communication Service setup $3,500 Goods and Services
Constructing building $54,500 Transpiration and logistics $150
Facilitation and instalment $3,500 Drug Supplies $750
Furniture and equipments $7,500 Medical and surgical Supplies $1,500
Risk mitigation and
contingency $2,500 Repairing and maintenance $250
Professional fees $1,500
Electric, Internet and other
service facility charges $150
legal obligations $500 TOTAL $2,800
TOTAL $73,500
Human Resource
Employment Cost $1,500
Salaries and wages $7,500
Compensation $2,500
Training $750
TOTAL $12,250
TOTAL operational/recurrent
cost $15,050
COST ESTMATION FOR PHAGETHERAPY

Initial Cost Total Expense Operational Cost/Recurrent Cost Total Expense
Communication Service setup $3,500 Goods and Services
Constructing building $74,500 Transpiration and logistics $100
Facilitation and instalment $6,500 Drug Supplies $350
Furniture and equipments $9,500 Medical and surgical Supplies $2,500
Risk mitigation and contingency $3,500 Repairing and maintenance $150
Professional fees $2,500
Electric, Internet and other service
facility charges $150
legal obligations $700 TOTAL $3,250
TOTAL $100,700
Human Resource
Employment Cost $1,200
Salaries and wages $6,500
Compensation $2,200
Training $650
TOTAL $10,550
TOTAL operational/recurrent cost $13,800
NET COST $114,500
COST ESTMATION FOR NANO-THERAPY

Economic Evaluation of
Phagetherapy: Cost analysis
High financial investment is required for
developing the infrastructure
The operational cost or recurrent costs is also
high
Patient-specific engineering of the phage
serum causes additional investment

Economic Evaluation of
Nanotherapy: Cost analysis
High financial investment is required for
developing the infrastructure
The operational cost or recurrent costs is
significantly low
No Patient-specific engineering is required

Economic Evaluation of
Phagetherapy: Benifits
Phagethe
rapy
Less toxic
No relapse
Able to treat every
form of leukaemia

Economic Evaluation of
Nanotherapy: Benifits
Nanother
apy
Three times
more effective
Painless
procedure
95 percent
less toxic

Recommended Treatment
Nano surgery is more effective than phage therapy. It
is three times more efficient than phage therapy.
Although phage therapy is used in various cancer
treatments, it is Nano therapy that is also used to cure
all other types of cancer except for Leukemia.

Conclusion
People today focus on affordable and up-to-date
therapies
EQ-5D tool are used to assess phage therapy and nano
surgery
Nanotherapy is less expensive and more advantageous
than phage therapy.

References
Abedon, S.T., García, P., Mullany, P. & Aminov, R. (2017). Phage Therapy:
Past, Present and Future. Lausanne: Frontiers Media SA.
Australian Institute of Health & Welfare. (2012). Cancer incidence projections
Australia, 2011 to 2020. Retrieved from:
https://padletuploads.blob.core.windows.net/prod/128093292/c8acbd86c
de1f5029d499cbd9753bdaa/AIHW_Cancer_projections.pdf.
Australian Institute of Health and Welfare. (2017)a. Leukaemia in
Australia.Retrieved from: https://www.aihw.gov.au/reports/cancer/cancer-
compendium-information-and-trends-by-cancer-type/report-contents/
leukaemia-in-australia

References
Fitting, J., Blume, T., ten Haaf, A., Blau, W., Gattenlöhner, S., Tur, M.K. &
Barth, S. (2015). Phage display-based generation of novel internalizing
antibody fragments for immunotoxin-based
Levin, H.M., McEwan, P.J., Belfield, C., Bowden, A.B. & Shand, R. (2017).
Economic Evaluation in Education: Cost-Effectiveness and Benefit-Cost
Analysis. London: SAGE Publications.
Service, R.F. (2016). Exploding nanobubbles can kill cancer cells. Retrieved
from http://www.sciencemag.org/news/2016/02/exploding-nanobubbles
-can-kill-cancer-cells
Slothuus, U. (2005). Economic Evaluation: Theory, Methods & Application.
Health Economics Papers 5. 1-61.