Dear Colleagues
I am an experienced accountant but not an MD or medical scientist. As a cost accountant, I cannot understand why the WHO and the world's health planners are planning on spending around 75 cents US per unit for rapid diagnosis kits for malaria. I am told that a reasonable trained Africa health worker could handle a large number of blood smears each day at a unit cost that is an order of magnitude lower than the rapid diagnosis kits.
What explains this? What am I missing?
If a health worker ... nurse ... is being paid $50,000 a year, and a doctor is being paid $200,000 a year, and there is a shortage of nurses and doctors, then having a 75 cents rapid diagnostic kit makes economic sense ... but does it make the same economic sense for public health in Africa. Yet these rapid diagnosis kits are in the cost projections being discussed by WHO and Roll Back Malaria and their community of experts. I don't get it.
If these rapid diagnosis kits were 2 cents US each ... then it would be different. But at 2 cents there would be no profit in selling these kits. At 75 cents there is profit ... and it would appear that there has been some pretty aggressive marketing by the owners of this technology. Typically aggressive marketing includes significant inappropriate disbursements that nobody wants to talk about, including, but not limited to the funding of studies to demonstrate the effectiveness of the technology.
I only know a small bit about this aspect of malaria control costing ... and I would very much like to learn more. On the face of it, there is a nasty problem here based merely on my modest knowledge of cost accounting .. but maybe there is stuff that I don't know and should know.
If anyone can help my understanding please let me know. Thanks.
Sincerely
Peter Burgess
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Peter Burgess
The Transparency and Accountability Network: Tr-Ac-Net in New York
http://www.tr-ac-net.org
Community Accountancy
Integrated Malaria Management Consortium (IMMC)
+1 917 432 1191 or +1 212 772 6918
mailto:peterbnyc@gmail.com