Breast and prostate cancer productivity costs: a comparison of the human capital approach and the friction cost approach

Value in Health : the Journal of the International Society for Pharmacoeconomics and Outcomes Research
Paul HanlyLinda Sharp

Abstract

Productivity costs constitute a substantial proportion of the total societal costs associated with cancer. We compared the results of applying two different analytical methods--the traditional human capital approach (HCA) and the emerging friction cost approach (FCA)--to estimate breast and prostate cancer productivity costs in Ireland in 2008. Data from a survey of breast and prostate cancer patients were combined with population-level survival estimates and a national wage data set to calculate costs of temporary disability (cancer-related work absence), permanent disability (workforce departure, reduced working hours), and premature mortality. For breast cancer, productivity costs per person using the HCA were € 193,425 and those per person using the FCA were € 8,103; for prostate cancer, the comparable estimates were € 109,154 and € 8,205, respectively. The HCA generated higher costs for younger patients (breast cancer) because of greater lifetime earning potential. In contrast, the FCA resulted in higher productivity costs for older male patients (prostate cancer) commensurate with higher earning capacity over a shorter time period. Reduced working hours postcancer was a key driver of total HCA productivity costs. HCA cost...Continue Reading

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Citations

Jan 24, 2014·Health Economics, Policy, and Law·Philippe TessierThomas Barnay
Feb 1, 2013·Journal of Occupational and Environmental Medicine·Paul HanlyLinda Sharp
Apr 22, 2014·Expert Review of Pharmacoeconomics & Outcomes Research·Paul HanlyLinda Sharp
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Feb 19, 2015·Applied Health Economics and Health Policy·Alison M PearceLinda Sharp
May 30, 2015·The European Journal of Health Economics : HEPAC : Health Economics in Prevention and Care·Paul HanlyLinda Sharp
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Oct 16, 2018·Expert Review of Pharmacoeconomics & Outcomes Research·Panagiotis Petrou
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Jul 31, 2021·The Lancet. Gastroenterology & Hepatology·Raymond Hugo HendersonMark Lawler

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