Comparing jurisdiction-specific pharmaco-economic evaluations using medical purchasing power parities

Briana M. Choi, Rachel B. Abraham, Hala Halawah, Matthias Calamia, Mavis Obeng-Kusi, Neda Alrawashdh, Daniel Arku, Ivo Abraham

Research output: Contribution to journalArticlepeer-review


Objectives: To demonstrate how medical purchasing power parities (mPPP) may harmonize economic evaluations from different jurisdictions and enable comparisons across jurisdictions. Methods: We describe the use of mPPPs and illustrate this with an example of economic evaluations of nab-paclitaxel with gemcitabine (Nab-P + Gem) versus gemcitabine monotherapy in the setting of metastatic pancreatic cancer. Following a literature search, we extracted data from cost-effectiveness studies on these treatments performed in various countries. mPPPs from the Organization for Economic Co-operation and Development were used to convert reported costs in the jurisdiction of origins to US dollars for the most current year using two possible pathways: (1) reported costs first adjusted by mPPP then adjusted by exchange index; and (2) reported costs first adjusted by exchange index then adjusted by mPPP. Results: Despite many of the pharmaco-economic evaluations sharing similar assumptions and inputs, even after mPPP conversion, residual heterogeneity was attributable to perspectives, discount rate, outcomes, and costs, among others; including in studies conducted in the same jurisdiction. Conclusion: Despite the methodological challenges and heterogeneity within and across jurisdictions, we demonstrated that mPPP offers a way to compare economic evaluations across jurisdictions.

Original languageEnglish (US)
Pages (from-to)34-41
Number of pages8
JournalJournal of medical economics
Issue numberS1
StatePublished - 2021


  • cost-effectiveness comparison
  • gemcitabine monotherapy
  • healthcare purchasing power parities
  • medical purchasing power parities
  • metastatic pancreatic cancer
  • nab-paclitaxel with gemcitabine
  • Pharmaco-economic evaluation comparison

ASJC Scopus subject areas

  • Health Policy


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