ECONOMIC-ANALYSES IN HEALTH-CARE - AN INTRODUCTION TO THE METHODOLOGYWITH AN EMPHASIS ON RADIATION-THERAPY

Payers are increasingly interested in knowing whether they are receivi ng value for the dollars they spend on health care, Because economic a nalyses will be used as a means of evaluating radiation therapy, it is important that radiation oncologists understand the basic methodology employed in such analyses, This review article describes the four bas ic types of economic analyses: cost minimization, cost effectiveness, cost utility, and cost benefit. Specification of alternative therapies , choice of perspective of the analysis, measurements of costs and ben efits, and the role of discounting and sensitivity analyses are discus sed. Published economic analyses that pertain directly to treatment wi th radiation therapy are reviewed, Finally, we close with a brief disc ussion of the potential areas for future economic outcomes research in radiation oncology.