A Risk Based Random Utility Model for Population Based Discrete Choice Analysis in Health Economics with Applications in Modeling Patients Choices Among Medical Treatment Plans

Global Business & Economics Anthology (GBEA), ISSN: 1553-1392, Volume I, pp. 27-39, March 2017

13 Pages Posted: 5 Jun 2017

See all articles by Ibrahim Niankara

Ibrahim Niankara

Al Ain University of Science and Technology

Date Written: March 21, 2017

Abstract

This paper extends the health economics literature with a risk based Random Utility Model for discrete medical treatments choice analysis using Population level observational data. The model is based on a subjective interpretation of the choice probabilities, and the economic theory of decision making under risk. It lends itself to a more general specification of the utility function, allowing the analyst to link economic theory with a broader class of linear statistical models that subsumes most currently available linear functional form representations as special cases. The model is shown to be in line with generalized linear mixed models (GLMMs), and estimated using Bayesian Markov Chain Monte Carlo (MCMC) methods.

Keywords: Bayesian MCMC; Discrete Choice; Health Economics; Medical Treatments; Sustainable Development Goals

JEL Classification: C10; C35; C50; I12; O5

Suggested Citation

Niankara, Ibrahim, A Risk Based Random Utility Model for Population Based Discrete Choice Analysis in Health Economics with Applications in Modeling Patients Choices Among Medical Treatment Plans (March 21, 2017). Global Business & Economics Anthology (GBEA), ISSN: 1553-1392, Volume I, pp. 27-39, March 2017. Available at SSRN: https://ssrn.com/abstract=2980040

Ibrahim Niankara (Contact Author)

Al Ain University of Science and Technology ( email )

College of Business
Abu Dhabi Campus
Abu Dhabi, 112612
United Arab Emirates
+97126133555 (Phone)
+97124444304 (Fax)

HOME PAGE: http://business.aau.ac.ae/en/business/academic-staff/staff/ibrahim-niankara

Register to save articles to
your library

Register

Paper statistics

Downloads
38
Abstract Views
183
PlumX Metrics