A cost-benefit analysis of mechanical ventilation - An examination of DRG 475

Objective: An economic evaluation of the resources used for mechanically ve ntilated patients using various measures for the benefits of extending life . Methods: Regression analysis is applied lo New York Slate discharge data fo r patients under DRG 475 during 1992-96 to predict age-specific survival ra tes and payments per life saved. Sensitivity analysis is used to compare be nefits of extending life associated with different economic values of life with the payments per life saved at each age. Results: Payments per life saved decreased over time, primarily due to redu ced reimbursements. Payments exceeded the age-adjusted and the quality-of-l ife and age-adjusted benefits for ail economic values of life at ages 90 an d older. Conclusions: Since the benefits of extending life associated with DRG 475 e xceed the payments per life saved at most ages, economic evaluations may be best applied with psychosocial evaluations to allocate resources more ethi cally.