Office of Health Economics -
This paper presents a model to capture the behaviour of health sector decision makers when making resource allocation decisions on the level and mix of healthcare production, while taking into consideration the maximum expenditure (budget) allowed by the government or the health system regulator. It seeks to address two perennial policy and practical discussions in the NHS (and elsewhere): how to cope with financial austerity; and the opportunity costs of reimbursing new health technologies. Please note that registration is required to access this document.