Abstract:
:The friction cost method has been proposed as an alternative to the human-capital approach of estimating indirect costs. We argue that the friction cost method is based on implausible assumptions not supported by neoclassical economic theory. Furthermore consistently applying the friction cost method would mean that the method should also be applied in the estimation of direct costs, which would mean that the costs of health care programmes are substantially decreased. It is concluded that the friction cost method does not seem to be a useful alternative to the human-capital approach in the estimation of indirect costs.
journal_name
J Health Econjournal_title
Journal of health economicsauthors
Johannesson M,Karlsson Gdoi
10.1016/s0167-6296(97)00006-4subject
Has Abstractpub_date
1997-04-01 00:00:00pages
249-55; discussion 257-9issue
2eissn
0167-6296issn
1879-1646pii
S0167-6296(97)00006-4journal_volume
16pub_type
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