WILLINGNESS-TO-PAY - WHATS IN A NAME

Authors
Citation
A. Gafni, WILLINGNESS-TO-PAY - WHATS IN A NAME, PharmacoEconomics, 14(5), 1998, pp. 465-470
Citations number
18
Categorie Soggetti
Pharmacology & Pharmacy
Journal title
ISSN journal
11707690
Volume
14
Issue
5
Year of publication
1998
Pages
465 - 470
Database
ISI
SICI code
1170-7690(1998)14:5<465:W-WIAN>2.0.ZU;2-2
Abstract
Despite renewed enthusiasm for the use of willingness to pay (WTP) in healthcare applications, there are still a lot of objections, resentme nt and scepticism regarding the desirability and feasibility of this t echnique. Objections can be classified into different categories: e.g. theoretical, feasibility of measurement, misunderstanding of economic concepts and emotional. In this commentary, I have tried to explain t he nature of the 'emotional' objections to the use of WTP. I argue tha t such objections are not helpful and distract attention from the prop er scientific debates about the important topics of theoretical founda tion for economic evaluations and feasibility of measurement of indivi duals' WTP. I believe that some of the emotional objections to WTP ste m from perceptions about the relationship between the WTP measure and actual payment for health services. Hence, I discuss the use of the WT P methodology in 2 distinct contexts - cost - benefit analysis (CBA) a nd market research. Understanding the difference between these 2 most common areas of use will help alleviate objections based on emotions, allow us to use the technique where there seems to be no objections to its use (i.e. market research) and concentrate on the scientific deba te where objections exist (i.e. the case of CBA).