<p> Benefit and Cost of Annual Mammogram Age 40 to 49</p><p>Assumptions </p><p>Woman age 40 at average risk of breast cancer. Annual mammogram age 40 to 49 EPA estimate of the economic value of a life of $8 million</p><p>Benefit of Annual Mammogram </p><p>Health effect: Reduction in breast cancer mortality risk of 0.05% Value of health effect: $8 million x 0.0005 =$4,000</p><p>Note: 10 year risk of death from automobile accident: 0.11%</p><p>Cost of Annual Mammogram</p><p>10 year risk of a false positive: 60% Risk of overdiagnosis if false positive: 25% Risk of overdiagnosis: 60% x 25% = 15%</p><p>Mammogram cost: $100 x 10 = $1,000 False positive cost: $850 x 0.60 = $510 Overdiagnosis cost: $51,800 x 0.15 = $7,770 Time cost: Implicit Psychological cost: Implicit Discomfort cost: Implicit Total Explicit Cost $9,280</p><p>Net Benefit = $4,000 - $9280 = - $5,280</p><p>1</p>