An intervention has the following cost and benefit profile:
Baseline cost = 400,000 Range: 200,000 – 1,200,000
Baseline benefit= 10 life yrs Range 5 – 20
a. Calculate the cost effectiveness ratio
b. Perform a sensitivity analysis.
c. If the cost effectiveness cutoff is 100,000/life yr, when is the intervention not cost effective? What if the cutoff is $50,000 per life yr?