Statistical and economic perspectives on utilization, costs, and cost-effectiveness
*Xiao-Hua (Andrew) Zhou, University of Washington
Keywords: Skewed data; health care costs; semi-parametric models
Reliable inferences and prediction on health care costs may be impeded by the following four characteristics of medical cost data: (1) non-zero cost observations are highly skewed to the right; (2) a certain proportion of the population is expected to incur no medical care costs during the whole study period; and cost observations typically exhibit heteroscedasticity. In this talk, I will discuss some recent developments of new statistical methods that can adjust for these characteristics.