Constant rate from a transition probability

Recovers the constant rate implied by a probability observed over an interval of length Delta. The function log is the natural logarithm. The rate can then be rescaled to any cycle length or combined with a hazard ratio.

Signature

h = -log(1 - p) / Delta
Inputs
InputsDefinitionUnit
pProbability of the event over the interval in which it was observedprobability from 0 to 1, excluding 1
DeltaLength of the interval over which p was observedtime, for example years
Output
hConstant hazard of the event implied by the observed probabilityevents per person per unit of time

Function

Rate and transition probability conversion function

Maps an event rate and a time interval to the probability that the event occurs within that interval, and back again. Rates are converted rather than probabilities divided, because a probability is tied to the length of the interval over which it was observed. The converted probability then enters a transition matrix used in the cohort update s_(t+1) = s_t P described on the Markov Model page.

Implementations

  • Excel

    Rate from a probability in one cell

    Excel uses LN, the natural logarithm, on named cells holding the probability and the length of its observation interval.

    =-LN(1-Probability)/Interval

Assumptions

  • Constant hazard over the observation period

    The implied rate is an average constant hazard. If the hazard rose or fell during the observation period, the rate describes neither the start nor the end of the period.

Worked examples

  • One-year probability of 0.20

    A one-year probability of 0.20 implies a constant rate of about 0.2231 per year, as in the article's rate conversion example.

    p = 0.20; Delta = 1; h = 0.2231
  • Five-year probability of 0.10

    A study reports that 10% of people had the event over five years. The implied constant rate is about 0.0211 per year, slightly above 0.10 divided by 5.

    p = 0.10; Delta = 5; h = 0.0211

Common errors

  • Using Excel LOG instead of LN

    Excel LOG uses base 10 by default. The formula with LOG gives about 0.0969 per year for a one-year probability of 0.20 instead of 0.2231, understating the rate by a factor of about 2.3.

Sources

  • Probability to rate conversion in a transition probability tutorial

    Gidwani R, Russell LB. Estimating transition probabilities from published evidence: a tutorial for decision modelers. PharmacoEconomics. 2020;38(11):1153-1164. Equation 8 and the worked 12-month to 3-month example.

    View source →

Canonical Identity

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