KEYWORDS:
Pediatric Immunization, Combination Vaccines, Economics, Operations Research, Vaccine Selection Algorithm

BACKGROUND:
An operations research vaccine selection algorithm was developed for vaccine purchasers to assemble formularies that satisfy the immunization schedule at the lowest overall cost to payers or to society. The algorithm takes into account distinguishing features of economic consequence among competing vaccines.

OBJECTIVE:
Demonstrate how the vaccine selection algorithm can be used to analyze and price the Hepatitis B - Haemophilus Influenzae Type B combination vaccine, hence assess its economic value in the market.

METHOD:
The vaccine selection algorithm was reverse engineered to determine the appropriate public sector price for the Hepatitis B - Haemophilus Influenzae Type B combination vaccine, based on August 2002 prices for all pediatric vaccines.

RESULT:
The price for the Hepatitis B - Haemophilus Influenzae Type B combination vaccine depends on the assigned cost of an injection and the number of doses of the vaccine that are in the lowest overall cost formulary. The current government price of $21.83 is reasonable if the purchaser values the cost of an injection to be at least $4.02.

CONCLUSION:
Reverse engineering the vaccine selection algorithm provides a rational tool for assessing the appropriate price for the Hepatitis B - Haemophilus Influenzae Type B combination vaccine.

LEARNING OBJECTIVES:
Understand how features of different vaccines impact he economic value of such products. Understand how the reverse engineering approach can be used to price pediatric combination vaccines.