The Cost of Critical Care Thinking like an Economist

Economists approach resource allocation as follows:

1. Resources are scarce.

2. Choices must be made about how scarce resources must be allocated.

3. The choice of allocation in one direction or the other will leave alternatives foregone (opportunity cost).

4. The benefits of the option not chosen must outweigh those of the option not chosen.

To the physician economic evaluations provide information on the least costly method of achieving any given desirable end point, in order to maximise health benefit. Objectively this data informs or augments the decision making process: economic evaluations must never be used in isolation to make clinical decisions. Evidence based medicine is about integrating best evidence with experience and clinical judgement.

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