Consider the following screening test for cancer applied to 100,000 people of whom 100 have cancer. Each test costs $6.50, picks up 75% of cancer cases., and additionally, 12% of the time, falsely diagnoses cancer. Detection of cancer (rightly or wrongly) leads to a further exact diagnostic test that costs $100. Correct early detection of cancer by the test is valued at $10,000 What is the marginal benefit of doing the test? What are the marginal costs of doing the test?
Consider the following screening test for cancer applied to 100,000 people of whom 100 have cancer. Each test costs $6.50, picks up 75% of cancer cases., and additionally, 12% of the time, falsely diagnoses cancer. Detection of cancer (rightly or wrongly) leads to a further exact diagnostic test that costs $100. Correct early detection of cancer by the test is valued at $10,000 What is the marginal benefit of doing the test? What are the marginal costs of doing the test?
Chapter4: Economic Evaluation In Health Care
Section: Chapter Questions
Problem 4QAP
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pls solve this ques within 10-15 minutes without copy from any other platform I'll give multiple upvotes.
![Consider the following screening test for cancer applied to 100,000 people of whom 100 have
cancer. Each test costs $6.50, picks up 75% of cancer cases., and additionally, 12% of the time,
falsely diagnoses cancer. Detection of cancer (rightly or wrongly) leads to a further exact diagnostic
test that costs $100. Correct early detection of cancer by the test is valued at $10,000
What is the marginal benefit of doing the test?
What are the marginal costs of doing the test?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fcdde935b-d848-4201-a855-7620e8006571%2F8f481e40-efb1-49de-9f7f-0084b0a13d40%2Fxu2ge4_processed.png&w=3840&q=75)
Transcribed Image Text:Consider the following screening test for cancer applied to 100,000 people of whom 100 have
cancer. Each test costs $6.50, picks up 75% of cancer cases., and additionally, 12% of the time,
falsely diagnoses cancer. Detection of cancer (rightly or wrongly) leads to a further exact diagnostic
test that costs $100. Correct early detection of cancer by the test is valued at $10,000
What is the marginal benefit of doing the test?
What are the marginal costs of doing the test?
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