LITERATURE REVIEW

THE WILLINGNESS TO PAY FOR HEALTH GAINS AND THE WILLINGNESS TO ACCEPT

COMPENSATION FOR HEALTH LOSSES

INTRODUCTIONProblem statement, concepts, research objective & questions

METHODSDatabases, inclusion- and exclusion criteria

RESULTSWTA-WTP ratios, explanatory variables

CONCLUSION & DISCUSSION

INTRODUCTION

€ 1,000,000 €750,000

88% effective 85% effective

INTRODUCTION

€80,000

COST

EFFECTIVENESS

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PROBLEM STATEMENT

Incremental cost effectiveness ratio (Nelson, et al., 2009)

KEY CONCEPTS

WILLINGNESS TO PAY (WTP)

WILLINGNESS TO ACCEPT (WTA)

The buying price for gaining additional health

The amount of compensation for relinquishing health

THE OBJECTIVE WAS: “to test the 1:1 “Willingness to accept-Willingness

to pay” ratio assumption derived from the rational choice theory with

respect to the valuation of health, by providing an overview of the

current body of empirical evidence about the ratio between willingness

to pay for health gains and willingness to accept health losses”

RESEARCH QUESTION

What is the empirical evidence regarding the ratio between

willingness to pay for health gains and the willingness to accept

health losses”

What is the ratio between willingness to pay for health gains and the

willingness to accept health losses?

Which factors could influence the ratio between willingness to accept

health losses and willingness to pay for health gains?

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2

METHODOLOGY

Inclusion criteria

• Studies must contain a health related outcome measure

• Articles written in Dutch or English • Studies should allow for the

calculation of both willingness to pay and willingness to accept, either directly or indirectly

• Empirical studies

Exclusion criteria

• The outcome measure is not health related

• Articles with incomplete (outcome) measurements/lacking relevant (outcome) measurements

• Non-empirical studies

1. SEARCH QUERIES

In abstract: ((willingness to pay" or "wtp" or "willingness-to-pay") and ("willingness-to-accept" or "wta" or "willingness to accept" or "compensation" or "compensation demanded" or "willingness to accept compensation))

Health key words: e.g. health, quality of life, health care Economic evaluation: cost-effectiveness analysis, cost-utility, cost-benefit Choice experiments: discrete choice experiment, contingent valuation

METHODOLOGY

2. OUTCOMES

Articles retrieved: 291 Systematic review: 15 studies Snowballing method: 2 studies

17

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10

6

4

8

12

14

HEALTHCARE SAFETY ENVIRONMENT

RESULTS: WTA:WTP RATIO

RATIONAL CHOICE THEORY1:1 WTA-WTP ratio

Income effect

Substitution effect

Endowment effect

RESULTS: EXPLANATORY FACTORS

CONCLUSION

INCOME EFFECT

ENDOWMENT EFFECT

REFERENCE POINT

GENDER

AGE

SUBSTITUTION EFFECT

PROSPECT THEORY

VALUE DISPARITY

WTA

WTP

IMPRECISION HYPOTHESIS>

DISCUSSION

STRENGTHS & WEAKNESSES

3 Categories: (1) health, (2) safety and (3) environment

RECOMMENDATIONS

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Qualitative research

More emphasis on WTA

17 studies