Cost-effectiveness analysis costs per common unit of outcome

7 COST-EFFECTIVENESS ANALYSIS COSTS PER COMMON UNIT OF OUTCOME 

Cost-effectiveness is an economic evaluation in which both the costs and the consequences of treatments are examined. The denominator of the cost-effectiveness ratio can be an intermediate outcome, such as a delay in the progression of a disease, or a final outcome, such as life-years saved. Once the outcome is measured, the costs associated with attaining this outcome form the numerator of the ratio. For example, suppose our interest is determining the relative value of drug therapy for epilepsy versus epilepsy 

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