Weighted mixed-comparator cost

Calculates expected comparator cost as the treatment-share-weighted mean cost of the current-care options.

Signature

C_mix = sum_(j=1)^J (w_j * C_j)
Output
C_mixTreatment-share-weighted expected cost of the mixed comparatorcurrency per defined population or person
  • w_j Proportion of the comparator population receiving current-care option j (proportion)
  • C_j Expected relevant cost of current-care option j (currency per defined population or person)
  • J Number of mutually exclusive current-care options represented in the mixed comparator (count)

Function

Mixed-comparator construction function

Maps the treatment shares and expected results of current-care options to a weighted mixed comparator.

Implementations

  • Excel

    Calculate weighted comparator cost

    Excel multiplies each option cost by its treatment share and adds the products.

    =SUMPRODUCT(TreatmentShares,OptionCosts)

Assumptions

  • Valid treatment shares

    Treatment shares are non-negative and sum to 1 across the mutually exclusive comparator options.

  • Representative current practice

    Treatment shares reflect the expected comparator mix for the relevant population setting and period.

  • Consistent costing basis for mixed comparator

    Option costs use the same perspective, population, time horizon, currency and price year.

Worked examples

  • Weighted comparator cost

    Current care consists of Option A for 70% of patients at £10,000 each and Option B for 30% at £15,000 each. Mixed-comparator cost is £11,500 per patient.

    C_mix = (0.70*10000) + (0.30*15000) = 11500

Common errors

  • Using outdated treatment shares

    A mixed comparator based on historical or irrelevant treatment shares may not represent the decision-maker's expected current practice.

Sources

  • NICE manual for mixed-comparator cost

    NICE. Health technology evaluations: the manual. Section 4.6 Economic evaluation.

    View source

Canonical Identity

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