WHO Guide to Identifying the Economic Consequences of Disease and Injury
Department of Health Systems Financing Health Systems and Services
World Health Organization -
Available online as PDF file [136p.] at:
http://www.who.int/choice/publications/d_economic_impact_guide.pdf
“……Distinct from but complementary to clinical or epidemiological approaches to disease burden assessment, analysis of the economic impact of ill-health can address a number of policy questions concerning the consequences of disease or injury. Some of these questions relate to the microeconomic level of households, firms or government – such as the impact of ill-health on a household’s income or a firm’s profits – while others relate to the macroeconomic level, including the aggregate impact of a disease on a country’s current gross domestic product or its future growth prospects.
Resulting estimates - for a particular disease, injury type or for diminished health status in the population generally - can usefully inform decision makers about the overall magnitude of economic losses and their distribution across a number of key drivers or categories of cost. Although insufficient as a basis for setting priorities and allocating resources in health – for which data on effectiveness are also needed – economic burden studies may help to identify possible strategies for reducing the cost of disease or injury via appropriate preventive action or treatment strategies….”
TABLE OF CONTENTS
EXECUTIVE SUMMARY
1. INTRODUCTION
1.1. Policy context: why measure the economic consequences of disease?
1.2. Motivation, scope and objectives
2. CONCEPTUAL FOUNDATIONS
2.1. Ill-health and its economic consequences
2.2. The quantity of interest for economic impact studies in health
2.3. The choice of counterfactual for economic impact studies in health
2.4. Conceptual foundations: key points
3. MEASUREMENT AND VALUATION: MACROECONOMIC LEVEL
3.1. The impact of health shocks on national economies
3.1.1. The impact of health expenditures
3.1.2. Labour and productivity losses
3.1.3. Effects on human, physical and financial capital formation
3.2. Measuring the impact of disease on national income or product
3.2.1. Regression-based estimation models
3.2.2. Simulation approaches: Calibration and CGE models
3.3. Measuring the impact of disease on economic welfare
3.4. Macroeconomic impact: key points
4. MEASUREMENT AND VALUATION: MICROECONOMIC LEVEL
4.1. Microeconomic impact of disease and injury at the household level
4.1.1. The impact of disease and injury on the household
4.1.2. Expenditures on health by households
4.1.3. Labour and productivity losses
4.1.4. Effects on human, physical and financial capital formation
4.1.5. Non-market impacts
4.1.6. Economic welfare losses
4.2. Microeconomic impact of disease and injury at the level of the firm
4.2.1. The impact of disease and injury on the firm
4.2.2. Expenditures on health by firms
4.2.3. Labour and productivity losses
4.2.4.
4.2.5. Non-market impacts
4.3. Microeconomic impact of disease and injury at the governmental level
4.3.1. Expenditures on health by government
4.3.2. Labour and productivity losses
4.4. Microeconomic impact: key points
5. CONCLUSION
REFERENCES
Appendix A Ill-health and its economic consequences for the household
Appendix B Critical overview of the cost of illness methodology
Appendix C Macroeconomic approaches to measuring the impact of disease and injury
Appendix D Time Preferences in an Expected Utility Model
Appendix E Technical and allocative efficiency effects of adverse health shocks for firms
Appendix F Glossary of main terms and definitions
For more information, please see:
- Development of WHO Guidelines on Generalized Cost-Effectiveness Analysis [pdf 146kb]
- Generalized Cost Effectiveness Analysis: A Guide [pdf 5.12Mb]
- Making Choices in Health: WHO Guide to Cost-Effectiveness Analysis
The work is now focusing on the country contextualisation tools and subsequent policy dialogue. For more information, please see:
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