Evidence map›Paper›PMID 29909872›Full record

ArticleValue in health : the journal of the International Society for Pharmacoeconomics and Outcomes Research2018

A Transparent and Consistent Approach to Assess US Outpatient Drug Costs for Use in Cost-Effectiveness Analyses.

Joseph Levy, Marjorie Rosenberg, David Vanness

Abstract read
In one paragraph

Article in Value in health : the journal of the International Society for Pharmacoeconomics and Outcomes Research, 2018. The graph could read no effect estimate from its abstract, so it casts no vote on the map. Cited by 28 papers.

0numbers the graph read from it
0cells of the map it votes in
28citing papers in PubMed
–field-weighted citation impact
1 · What the graph read from it

What it found

Each row is one number read from the abstract, on the scale the paper reported it, with its interval. Left of the dashed line favours the treatment, right favours the comparator. Under each row is the sentence it came from. New to these charts? A ten-minute tutorial.

The abstract states no effect estimate the extractor could read, or names no intervention and outcome on the map, so this paper lights no cell and moves no belief. It is still indexed, cited and linked below.

2 · The registry

The trial behind it

Trials whose registry record cites this paper, or whose number appears in the abstract. A trial that started after this paper was published is citing it as background, not reporting it.

Neither the registry nor the abstract names a trial number. If this is a trial report, that itself is worth knowing.

3 · Its place in the literature

Who cites it

28 citing papers in PubMed.

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  8. DapagliflozinFrontiers in pharmacology · 2024
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  15. Cost-Effectiveness of Tumor Genomic Profiling to Guide First-Line Targeted Therapy Selection in Patients With Metastatic Lung Adenocarcinoma.Value in health : the journal of the International Society for Pharmacoeconomics and Outcomes Research · 2022
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4 · The record

Corrections and comments

PubMed lists nothing against this paper. Absence here is not a guarantee, only a check that was made.

5 · Who and what money

Authors and funding

3 authors.

Joseph LevyDepartment of Pharmaceutical Health Services Research, University of Maryland School of Pharmacy, Baltimore, MD, USA. Electronic address: jlevy1@rx.umaryland.edu.
Marjorie RosenbergWisconsin School of Business, Department of Risk and Insurance, University of Wisconsin-Madison, Madison WI, USA.
David VannessDepartment of Population Health Sciences, University of Wisconsin-Madison, Madison, WI, USA.

Funding

Statistical Data Enclave CoreP30AG017266 · NIA · UNIVERSITY OF WISCONSIN-MADISON · PI Michal Engelman · 1999 to 2026
$17.0M
THE ECONOMICS OF MENTAL HEALTHT32MH018029 · NIMH · UNIVERSITY OF WISCONSIN-MADISON · PI MULLAHY, JOHN · 1985 to 2016
$3.2M
NIMH NIH HHS T32 MH018029
6 · The paper itself

Abstract

backgroundAssessment of drug costs for cost-effectiveness analyses (CEAs) in the United States is not straightforward because the prices paid for drugs are not publicly available and differ between payers. CEAs have relied on list prices that do not reflect the rebates and discounts known to be associated with these purchases.

objectivesTo review available cost measures and propose a novel strategy that is transparent, consistent, and applicable to all CEAs taking a US health care sector perspective or a societal payer's perspective.

methodsWe propose using the National Average Drug Acquisition Cost (NADAC), the Veterans Affairs Federal Supply Schedule (VAFSS), and their midpoint as the upper bound, lower bound, and base case, respectively, to estimate net drug prices for various payers. We compare this approach with wholesale acquisition cost (WAC), the most common measure observed in our literature review. The minimum WAC is used to provide the most conservative comparison.

resultsOur sample consists of 1436 brand drugs and 1599 generic drugs. On average, the upper bound (NADAC) is 1% and 9.8% lower than the WAC for brand and generic drugs respectively, whereas the lower bound (VAFSS) is 48.3% and 54.2% lower than the WAC. The NADAC is less than the WAC in 89.6% of drug groups. The distributions of these relationships do not show a clear mode and have wide variation.

conclusionsOur study suggests that the WAC may be an overestimate for the base case because the minimum WAC is higher than the NADAC for most drugs. Our approach balances uncertainty and lack of data for the cost of pharmaceuticals with the need for a transparent and consistent approach for valid CEAs.

Indexed as

Cost-Benefit AnalysisDrug CostsDrug IndustryDrugs, GenericEconomics, PharmaceuticalHumansOutpatientsUnited StatesUnited States Department of Veterans AffairsDrugs, Genericcost-effectiveness analysisdrug costhealth economic methodsUnited States

Identifiers

PMID29909872
PMCPMC6394851

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Read under generation 80e0d062 · epoch 390. Bibliography from PubMed, PubMed Central and OpenAlex; grants from NIH RePORTER; trial links from ClinicalTrials.gov; estimates, votes and beliefs from the OpenQuestion graph.