Article ID Journal Published Year Pages File Type
961425 Journal of Health Economics 2006 14 Pages PDF
Abstract
Differences in the mean, spread and skewness of cost data collected from different countries present problems for analysis and interpretation. Here we develop generalised linear multilevel models to estimate the effects of patient and national characteristics on costs. Using gamma distributions and multiplicative effects for patient characteristics fitted the data better than models which assumed normal distributions or estimated additive effects. A multilevel gamma model is employed to allow for heterogeneity in the effects of patient case-mix across centres. Analysis of multinational cost data must recognise differences in mean, spread and skewness across centres, as well as the data's hierarchical structure.
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