Introduction and rationale for economic evaluations for health interventions

Welcome to Module 1. In this module, we will provide an overview of economic evaluation in global health along with definitions of key concepts. We will also discuss how to conduct and interpret economic evaluations. Next, we will review the economic impact of colonialism low and middle-income countries (LMICs). Finally, we’ll talk about resources to support you in conducting economic evaluations and connecting with international societies for further training and mentorship.
Note: You can turn on closed captions by clicking the CC button on the video player navigation bar. 

If you have trouble watching the lectures due to a slow Internet connection, try downloading the lecture or the transcript listed below each video. Right click the link and select "Save Link as" to download.

Learning Objectives

After completing this module, you will be able to:

  • Understand the rationale for conducting economic evaluations of global health interventions;
  • Understand the theoretical foundation for economic evaluations, including cost effectiveness analyses; and
  • Describe the economic impact of colonialism on the willingness to pay for global health interventions.

Video: Overview of Economic Evaluation (12 minutes)

Welcome to this introductory video lecture where we will provide you with an overview of economic evaluation.

Downloads: Video (13MB), Audio (5 MB), Transcript

Video: Health Economic Evaluation (5 minutes)

Global health and public health practitioners use Health Economics to better understand the decisions that get made that affect health. Calculating the DALYs averted or QALYs gained for per dollar spent, for example, can help NGOs and Governments decide which health interventions to invest in. These sorts of cost utility and cost effectiveness (economic evaluations) help with decision making.

Reading: Cost Effectiveness Analyses (30 minutes)

The following reading is a chapter excerpt from the publication Priorities in Health. This reading will provide you with a brief introduction to what cost-effectiveness analysis is and why we use it to influence health.

Download PDF

Source: Priorities in Health, Chapter 3: Cost-Effectiveness Analyses. The World Bank.

Video: Conducting and Interpreting Economic Evaluation (14 minutes)

This next video lecture will talk about conducting and interpreting economic evaluations.

Downloads: Video (16 MB), Audio (6.4 MB), Transcript

Reading: Introduction to Health Economics for Physicians (30 minutes)

Read the following article Introduction to Health Economics for Physicians. This reading will provide you will key concepts of health economics for practicing physicians to further knowledge on economic relations between the practice of medicine, the health-care sector and the national economy.

Download PDF

As you read the following article, self-reflect on the following questions:

  • What are some examples of health interventions or programs in your setting where the financial and economic costs might be different? What are the reasons behind these differences?
  • Why is it important to define the perspective of an economic evaluation in health?
  • What are the key differences between cost benefit analysis, cost effectiveness analysis and cost utility analysis?

Source: Meltzer, M. I. (2001). Introduction to health economics for physicians. The Lancet, 358(9286), 993-998.

Video: How Britain Stole $45 Trillion from India with Trains (6 minutes)

There is a misguided idea that India should be grateful for the democracy, law, and trains that the British Empire brought to their country. But along with these ‘gifts’, Britain also stole $45 trillion from India during its long and oppressive rule, which culminated in the biggest mass migration in human history during the Partition of India and Pakistan. And those beloved trains? They became the sites of mass slaughter as violent clashes occurred when over 4 million people were uprooted from their homes and forced to trek to a Muslim-majority Pakistan and a Hindu-majority India. VICE World News host Zing Tsjeng reveals exactly why India shouldn’t be grateful for their trains. A show about Europeans getting rich at the expense of everyone else. VICE World News host Zing Tsjeng uncovers the ugly history of the European colonial empires they don’t teach us in schools. Countries around the world were looted for their treasures, people were oppressed and exploited and European powers relentlessly profited. The far-reaching repercussions of colonialism are all around us, from our financial institutions to the food we eat.

Additional videos from VICE’s series Empires of Dirt:

Video: Colonialism and Impact on Global Health (10 minutes)

This next video lecture will discuss colonialism and its impact on global health.

Downloads: Video (12 MB), Audio (5 MB), Transcript

Reading: Colonialism Can't Be Forgotten (25 minutes)

Read the following article Colonialism can’t be forgotten – it’s still destroying peoples and our planet.

Download PDF

Source: Colonialism can’t be forgotten – it’s still destroying peoples and our planet.

Video: Resources (6 minutes)

Next, watch a short video lecture that highlights some key resources you will want to include in your economic evaluation toolkit. After you watch to the video, you can return to this page to bookmark the resources for future use.

Downloads: Video (7 MB), Audio (2MB), Transcript

Resources referenced in the above lecture:

  • WHO CHOICES

    The CHOICE (CHOosing Interventions that are Cost-Effective) project is a WHO initiative developed in 1998 with the objective of providing policy makers with evidence for deciding on interventions and programmes which maximize health for the available resources.

Reading: Module 1 Key Points (5 minutes)

Remember, we are all applied economists! We make decisions every day that involve assessing the costs and benefits of different choices and making trade-offs. We aim to choose options that maximize our benefits given the value we place on benefits and our limited budget.

Economics is not just a ‘bag of tools’ but it is also a set of ideas (a discipline) which together represent a way of thinking.  The foundational concept of economics is that resources are scarce and inadequate to meet all human wants and needs. (Adapted from Mooney and Shiell)

module 1 summary cartoon - first we're going to run some tests to help pay off the machine

Discussion (20 minutes)

Go to Discussion

*Please note that there is no access to the discussion in this sample course

Final Project—Writing Prompt: Identify a Topic (30 minutes)

Throughout this course you will work to develop a final project that will be submitted at the end of the course. We strongly encourage you to carve out time throughout the course to work on your final project, rather than leaving it to the end.

Go to Writing Prompt

Quiz (30 minutes)

Go to Quiz

*Please note that there is no access to the quiz in this sample course

Optional Resources