wtp_calc: Willingness-to-Pay Calculator

In healthcare.antitrust: Healthcare Antitrust Analysis

Willingness-to-Pay Calculator

Description

This function calculates the system-level Willingness-To-Pay.

Usage

wtp_calc(
  data,
  cell = "cell",
  sys_id = "sys_id",
  count = "count",
  weight = "weight",
  dropDegenerateCell = TRUE
)

Arguments

data	Dataset of hospital discharges. Required variables: cell and sys_id. Use other function arguments to indicate alternative variable names to the default names.
cell	Name of variable specifying cell to which each observation has been allocated. Default variable name is cell. Can be created by cell_defn function.
sys_id	Name of variable specifying (numeric) system identifier. Default variable name is sys_id.
count	Name of variable indicating the number of admissions represented by the observation. Set = 1 for every row if each observation represents one admission.
weight	Name of variable indicating designated weight of admission; =1 if observations should be equally weighted.
dropDegenerateCell	logical; specifies how to treat cells with a 100 percent within-system share. If TRUE, observations in degenerate, 100 percent share cells will be ignored in the WTP calculation. If FALSE, an adjustment is made where any cells with > 99 percent share at a single hospital have the share set to 99.0 percent.

Details

This function calculates the system-level WTP. For use in a WTP simulation exercise of the "WTP/Q Method" described in Brand and Balan (2018) \Sexpr[results=rd]{tools:::Rd_expr_doi("10.2139/SSRN.3153109")}. Hospital systems need to be numbered by sys_id, with a distinct sys_id for each independent hospital.

The weight input might for example be a DRG weight for each inpatient hospital admission.

For more details see the example vignette by typing: vignette("semipar_example", package = "healthcare.antitrust")

Value

A data frame with the number of rows equal to the number of systems in the input data frame, and the following variables: sys_id is the system identifier, WTP_s is the system's WTP, N_s is the number of admission for the system, and WTP_s_wt is the weighted WTP for the system if the weight input is provided.

Examples

data(discharge_data, package = "healthcare.antitrust")

list1 <- c("drg","age","zip5")
layers <- list(list1)
th <- 15
discharge_data$count <- 1

outList <- cell_defn(discharge_data,th,layers)
D0 <- outList$assigned

out <- wtp_calc(D0)

healthcare.antitrust documentation built on May 29, 2024, 6:29 a.m.