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Decision Model 2: Markov Model


                       In this, we describe an example of a cost-effectiveness analysis which was used to

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               evaluate sorafenib – a drug used to treat hepatocellular carcinoma (HCC)  . HCC is a primary
               malignant  neoplasm  of  the  liver.  The  majority  (70%)  of  cases  of  HCC  in  India  present  at

               advanced  stage  (Barcelona  Clinic  Liver  Cancer  (BCLC)  stage  C  and  D)  in  which  curative

               resection  is  not possible.  For  these unresectable,  advanced  HCC  cases  with  extra-hepatic

               spread or vascular invasion, treatment options are limited. Targeted molecular therapy  –

               sorafenib,  is  indicated  for  advanced  BCLC  stage  C  patients  of  HCC.  Sorafenib  has  been
               reported to result in an increased median overall survival and time to progression in advanced

               HCC as compared to Best Supportive Care (BSC). The alternative to giving sorafenib is BSC

               which comprises of standard routine care and complications management. Sorafenib and BSC
               arms are considered as intervention and control respectively. In order to model life-term costs

               and consequences, patients are segregated into two alive health transition states termed as

               Progression Free State (PFS) and Progressive Disease (PD) in intervention and control arm

               respectively. As shown in the Figure 3, HCC patients diagnosed in PFS health state can advance

               to PD or Death from all-cause mortality health states. Death from HCC happens from PD
               health state only.


























                                            Figure 3: Markov Model structure

               Figure 3 is next converted to Table 3 and 4 which show a transition matrices which

               represents the probability of moving from each health state to the next state in sorafenib

               and BSC arm respectively.




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