Question

1. The World Health Organization (WHO) is considering sending in a team of experts to deal with an outbreak of schistosomiasis in a developing country. It costs $25,000 for every additional five team members sent. Sending a larger team will allow WHO to prevent more fatalities, and they estimate the following effectiveness:

Number of Team Members: 0, 5,10,15,20,25,30,35,40,45,50

Number of Deaths: 1200,500,200,100,60,40,30,25,22,20,20

a) (20’) Please plot the incremental cost-effectiveness ratios in a two-dimensional graph with total effectiveness along the horizontal axis and incremental cost-effectiveness ratios along the vertical axis.

b) (20’) If saving a life is valued at $10,000, what is the optimal number of team members sent?

c) (20’) Suppose the WHO has a total budget of $150,000 to be spent on fighting this epidemic. How would your answer to b) change?

Answer 1

Answer to Question (a)

Before Plotting the numbers on graph, pls try to get the below calcuation that how increase in 5 resources savings life

Number of Team members (a)	Number of deaths (b)	Incremental cost (USD) per 5 member ©	Total cost	Decrease in Deaths (d)	Savings in Death per 5 members ( e ) (d/5)
0	1200	0	0	0	0
5	500	25000	25000	700	140
10	200	25000	50000	300	60
15	100	25000	75000	100	20
20	60	25000	100000	40	8
25	40	25000	125000	20	4
30	30	25000	150000	10	2
35	25	25000	175000	5	1
40	22	25000	200000	3	0.6
45	20	25000	225000	2	0.4
50	20	25000	250000	0	0

Answer to B

If the cost per savings is optimum to USD10,000 per person then the optimum team size will be

Number of Team members (a)	Number of deaths (b)	Incremental cost (USD) per 5 member ©	Total cost	Decrease in Deaths (d)	Savings in Death per 5 members ( e ) (d/5)	Cost per save (total cost/b)
0	1200	0	0	0	0	0
5	500	25000	25000	700	140	50
10	200	25000	50000	300	60	250
15	100	25000	75000	100	20	750
20	60	25000	100000	40	8	1666.667
25	40	25000	125000	20	4	3125
30	30	25000	150000	10	2	5000
35	25	25000	175000	5	1	7000
40	22	25000	200000	3	0.6	9090.909
45	20	25000	225000	2	0.4	11250
50	20	25000	250000	0	0	12500

Maximum cost that can be soend is USD 10,000

it should be in between 40 to 45