The Contingent Valuation Method in Health Care An Economic Evaluatio

In the future, as our society becomes older and older, an increasing number of people will be confronted with Alzheimer's disease. Some will suffer from the illness themselves, others will see parents, relatives, their spouse or a close friend afflicted b

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Developments in Health Economics and Public Policy

VOLUME 8

Series Editors Peter Zweifel, University of ZUrich, Switzerland H.E. Frech III, University of California, Santa Barbara, U.S.A.

The Contingent Valuation Method in Health Care An Economic Evaluation of Alzheimer's Disease By

Sandra Nocera University of Zurich, Switzerland

Harry Telser University of Zurich, Switzerland

and Dario Bonato Cantonal Bank of Zurich, Switzerland

SPRlNGER-SCIENCE+BUSINESS MEDIA, B.V.

A C.I.P. Catalogue record for this book is available from the Library of Congress.

ISBN 978-1-4613-4805-4 ISBN 978-1-4419-9133-1 (eBook) DOI 10.1007/978-1-4419-9133-1

Printed an acid-free paper

AlI Rights Reserved © 2003 Springer Science+Business Media Dordrecht Originally published by Kluwer Academic Publishers in 2003 Softcover reprint ofthe hardcover Ist edition 2003 No part of this work may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, microfilming, recording or otherwise, without written permission from the Publisher, with the exception of any material supplied specifically for the purpose of being entered and executed on a computer system, for exclusive use by the purchaser of the work.

Contents

Preface

IX

List of Abbreviations

Xl

Chapter 1: Introduction

1. 2. 3.

4.

The contingent valuation method Alzheimer's disease Study objectives Organization of the book

Chapter 2: Study Design

1. 2.

3. 4.

5.

Economic burden of Alzheimer's disease Program 'care' - helping caregivers Program 'diagnosis' - detecting AD early Program 'research' - search for a cure of AD Financing of the programs

Chapter 3: Elicitation Methods 1. 2. 3.

Continuous contingent valuation format Discrete contingent valuation format Biases in contingent valuation studies 3.1 Yea-saying

1 1 2 3 5 7

8 10 11 13

13 15 16 16 17 18

The Contingent Valuation Method in Health Care

VI

Protest answers 3.2 3.3 Question ordering bias Payment vehicle bias 3.4 Embedding effect 3.5 3.6 Warm glow effect 3.7 Information bias 4. Chosen elicitation techniques Dichotomous choice (DC) format 4.1 Dissonance-minimizing (DM) format 4.2 Payment card (PC) format 4.3 Chapter 4: Estimation Methods

1.

Estimation methods for the discrete CV (DC and DM) Logistic regression analysis 1.1 1.2 Nonparametric method 2. Estimation methods for payment card (PC) Chapter 5: Data

1. 2.

Sample structure and data collection Descriptive statistics

Chapter 6: Results

1.

Program 'care' with taxes 1.1 Data 1.2 Dichotomous choice (DC) format Dissonance minimizing (DM) format 1.3 1.4 Payment card (PC) format 1.5 Overview of the tax financed care program 2. Program 'diagnosis' 2.1 Data 2.2 Dichotomous choice (DC) format 2.3 Dissonance minimizing (DM) format 2.4 Payment card (PC) format 2.5 Overview of insurance financed diagnosis program 3. Program 'research' 3.1 Data 3.2 Dichotomous choice (DC) format 3.3 Dissonance minimizing (DM) format Payment card (PC) format 3.4 3.5 Overview of the research program

18 19 19