Download - Microsimulation Technical Overview
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Microsimulation Technical Overview Bryan Tysinger – [email protected]
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Motivation
• We face important questions regarding the future of health – Health disparities
– Future burden of diseases
– Access to care and health care costs
• Tackling these questions is of utmost policy
importance
• Answers are difficult because of the complexity of health processes and powerful trends in demography, health behavior, and medical technology. 2
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Roybal Center for Health Policy Simulation
• Two central models: FEM and FAM – Future Elderly Model — Ages 51+, centered around
Health and Retirement Study (HRS)
– Future Americans Model – Ages 25+, centered
around Panel Study of Income Dynamics (PSID)
• Both models can be used at the national
and the Los Angeles county level
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USC’s Roybal Center for Health Policy Simulation
develops policy models to tackle these questions
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• 62 papers/chapters/briefs, including 2 special
issues of Health Affairs
• Multiple conferences on aging policy
• Contributions to:
• National Academy of Sciences
• MacArthur Foundation
• Congressional Budget Office
• Department of Labor
• Social Security Administration
• World Economic Forum
• Economic Report of the President
• Diverse set of topics:
• Obesity, smoking, cardiovascular risk
factors
• Value of delayed aging, Costs of dementia
• Pharmaceutical price controls, Medicare
reform
• Progressivity of government programs
Accomplishments Funding Sources (since 1999)
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Who We Are
• Researchers at the University of Southern California (n=20)
– 9 faculty members and fellows, 2 postdoctoral fellows, 5 mathematicians/statisticians/programmers, 4 PhD students
• External collaborators
– International: OECD, University of Tokyo, University of Rome, National University of Singapore, University of Quebec in Montreal, University of Colima, Korea Institute for Health and Social Affairs
– United States: University of Chicago, Stanford University, University of Pittsburg, University of Texas, University of South Carolina, RAND
– Los Angeles: Los Angeles County Department of Public Health
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Today’s Outline
Background and Motivation
Simulation Methods
Data Requirements
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FEM tracks the complex interaction between
health, mortality, and economic outcomes
• Estimated on – Health and Retirement Study Data (longitudinal) for the 51+ population
(FEM)
• It tracks economic outcomes such as work, earnings,
wealth, medical expenditures (Medicare parts A/B/D,
Medicaid and Private), and federal program
participation/benefits
• It simulates actual survey respondents and synthetic
replenishing cohorts
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Modeling Approach
• Demographic and health risk factors ->
morbidity/disability/mortality ->
economic
• First-order Markov transitions
• Reduced-form models
• Data-driven
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FEM Transition Module – 1st Order Markov models
based on HRS survey responses
Health Economic
Binary outcomes Mortality, cancer, diabetes,
heart disease, hypertension,
chronic lung disease, stroke,
depressive symptoms,
Alzheimer’s disease,
dementia, congestive heart
failure, heart attack
Working for pay, OASI
claiming, DI claiming,
SSI claiming, live in
nursing home, health
insurance type
Ordered outcomes Activities of daily living
(0,1,2,3+), instrumental
activities of daily living
(0,1,2+), smoking status,
subjective well-being
Continuous
outcomes
BMI Earnings, wealth,
property taxes, transfers,
helper hours received,
volunteer hours,
grandchild care hours
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Inputs and Outcomes of the Transitions Model
Inputs • Age, sex, race,
education
• Lagged risk factors
• Lagged disease status
• Lagged functional
status
• Fixed factors from
childhood
Economic
outcomes • Employment
• Earnings
• Wealth
• Health insurance
• Social security
claiming
• Disability insurance
claim
• SSI claiming
Health outcomes • Mortality
• Heart disease
• Stroke
• Cancer
• Hypertension
• Diabetes
• Lung disease
• Nursing home status
• BMI
• Smoking (start/stop)
• ADL
• IADL
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Diabetes Transition
• Incident diabetes is a function of: – Time-invariant: sex, race, education, BMI at 50
– Time-varying (via 2-year lagged variables): age
splines, smoking status, any exercise, log BMI
splines
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Data Sources
Data Source Use
Health and Retirement Study (HRS) Host data and estimation of the transition
models.
Social Security Covered Earnings files Estimation of individual earnings histories.
(Subsample of HRS)
Aging, Dementia and Memory Study
(ADAMS)
Estimation of incidence for Alzheimer's
disease. (Subsample of HRS)
National Health Interview Survey (NHIS),
National Health and Nutritional Examination
Survey (NHANES)
Projection of health trends for replenishing
cohorts.
Medical Expenditure Panel Survey (MEPS) Estimation of medical costs for non-
Medicare individuals.
Medicare Current Beneficiary Survey
(MCBS)
Estimation of medical costs for Medicare
recipients
Census forecasts Demographics of replenishing cohorts.
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Structure of an FEM cohort simulation
Population
ages 51-52,
2018
Population
ages 53-54,
2020
Population
ages 55-56,
2022
Population
age 57-58,
2024
Policy
outcomes,
2020
Policy
outcomes,
2022
Policy
outcomes,
2024
Transitions Module Policy Outcomes Module
Policy
outcomes,
2018
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Structure of FEM population simulation
Population
age 51+,
2018
Population
age 53+,
2020
Population
age 53+,
2022
Population
age 53+,
2024
Policy
outcomes,
2020
Policy
outcomes,
2022
Replenishing
cohort
ages 51-52,
2020
Replenishing
cohort
ages 51-52,
2022
Policy
outcomes,
2024
Transitions Module Replenishing Cohorts Module Policy Outcomes Module
Policy
outcomes,
2018
Replenishing
cohort
ages 51-52,
2024
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Types of Simulation Experiments
• Alter initial characteristics of population – Decrease risk factors or disease prevalence
• Change policy module – Increase Medicare eligibility age, federal benefit
levels, or Social Security claiming rules
• Intervene on transitions – Decrease likelihood of developing a disease, delay
onset of a disease
• Alter characteristics of replenishing
cohorts
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Replenishing Cohort Module
• Initial conditions of simulated cohorts are estimated using information about how the mean of the marginal distribution is changing over time and the joint distribution of all variables at a point in time.
• Correlations between variables are held constant while the mean of the marginal distributions are allowed to change with trends.
• Health trends in the simulated cohorts are constrained to meet prevailing health trends in published data or other sources.
• Sampling weights are adjusted to match external estimates of population size (Census)
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Handover
• Compare prevalence of chronic
diseases and disabilities observed in
HRS data from 1998-2014 to FEM
forecasts (2010+)
• “Sanity check” on simulation results – Any discontinuities?
– Do trends seem reasonable?
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HRS -> FEM (Males, chronic diseases)
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HRS -> FEM (Females, chronic diseases)
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HRS -> FEM (Males, ADL/IADL)
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HRS -> FEM (Females, ADL/IADL)
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SHARE -> EU FEM (Males, chronic diseases)
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SHARE -> EU FEM (Females, chronic
diseases)
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SHARE -> EU-FEM (Males, ADL/IADL)
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SHARE -> EU-FEM (Females, ADL/IADL)
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Validation
• Internal validity – Cross-validation for population statistics
– ROC curves for individuals
• External validity (see technical
appendices) – Compare to external sources for observed years
• External corroboration – Compare to other forecasts
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Internal Validity - Crossvalidation
• Randomly split HRS into two groups – Estimate transition models on one group
– Simulate the other group
– Compare prevalence of disease between the two
groups in observed years
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US FEM Internal Validity - Crossvalidation
2000 2006 2012
FEM HRS p-value FEM HRS p-value FEM HRS p-value
Cancer 11.9% 12.0% 0.77 16.9% 16.6% 0.62 21.9% 22.3% 0.63
Diabetes 14.1% 13.9% 0.57 19.4% 20.0% 0.32 24.6% 24.5% 0.91
Heart Disease 20.4% 19.9% 0.41 27.1% 26.2% 0.20 34.9% 32.9% 0.02
Hypertension 45.9% 44.4% 0.02 57.8% 57.1% 0.36 67.6% 67.1% 0.60
Lung Disease 7.7% 7.3% 0.37 10.5% 10.0% 0.24 13.0% 12.2% 0.20
Stroke 6.6% 6.5% 0.72 9.2% 8.8% 0.37 12.7% 11.5% 0.03
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EU FEM – Crossvalidation (mortality)
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EU FEM – Crossvalidation (cancer)
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EU FEM – Crossvalidation (diabetes)
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EU FEM – Crossvalidation (heart disease)
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EU FEM – Crossvalidation (hypertension)
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EU FEM – Crossvalidation (lung disease)
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EU FEM – Crossvalidation (stroke)
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EU FEM – Crossvalidation (any ADL)
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EU FEM – Crossvalidation (any IADL)
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EU FEM – Crossvalidation (log(BMI))
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EU FEM – Crossvalidation (ever smoke)
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Internal Validity - ROC curves
• 2004-2014 US-FEM (to assess
equivalent of 10 year risk)
• 2007-2013 EU-FEM
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US FEM – 10 year mortality
0.0
00.2
50.5
00.7
51.0
0
Sensitiv
ity
0.00 0.25 0.50 0.75 1.001 - Specificity
Area under ROC curve = 0.8096
Mortality
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US FEM – 10 year dementia
0.0
00.2
50.5
00.7
51.0
0
Sensitiv
ity
0.00 0.25 0.50 0.75 1.001 - Specificity
Area under ROC curve = 0.8846
Dementia
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US FEM – 10 year cancer
0.0
00.2
50.5
00.7
51.0
0
Sensitiv
ity
0.00 0.25 0.50 0.75 1.001 - Specificity
Area under ROC curve = 0.6028
Cancer
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US FEM – 10 year lung disease
0.0
00.2
50.5
00.7
51.0
0
Sensitiv
ity
0.00 0.25 0.50 0.75 1.001 - Specificity
Area under ROC curve = 0.7145
Chronic Lung Disease
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EU FEM – 6 year mortality
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EU FEM – 6 year cancer
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EU FEM – 6 year diabetes
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EU FEM – 6 year heart disease
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EU FEM – 6 year hypertension
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EU FEM – 6 year lung disease
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EU FEM – 6 year stroke
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External Corroboration - US FEM Compared to US
Census Forecasts
80
90
100
110
120
130
140
150
160
2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 2050
US
Popula
tion 5
1+
(m
illio
ns)
Census (2012 projection) Census (2014 projection) US FEM
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US FEM Technical Appendix
• US FEM technical appendix – https://healthpolicy.box.com/v/FEMTechdoc
– https://healthpolicy.box.com/v/estimatesFEM
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Our Current Approach to Uncertainty
• “Bootstrap everything”
• Re-sample and re-estimate all transition
and cost models from HRS, MEPS, and
MCBS, taking into account the sampling
strategy of the original data
• Re-simulate with these estimates
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Simulation Implementation
• Data processing in SAS and Stata
• Estimation in Stata
• Simulation in C++
• Prefer a Linux environment, but we
support users on Mac OS and Windows
(using Linux emulation)
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Today’s Outline
Background and Motivation
Data Requirements
Simulation Methods
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Gateway to Global Aging (g2aging.org) harmonizes
several of the HRS-like studies
• United States (HRS)
• Mexico (MHAS)
• England (ELSA)
• 20+ European
Countries and Israel
(SHARE)
• Costa Rica (CRELES)
• Korea (KLoSA)
• Japan (JSTAR)
• Ireland (TILDA)
• China (CHARLS)
• India (LASI)
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Other HRS Sister Studies Not Yet Harmonized
• Brazil (ELSI)
• Indonesia (IFLS)
• Malaysia (MARS)
• New Zealand (HART)
• North Ireland
(NICOLA)
• South Africa
(HAALSI)
• Scotland (HAGIS)
• China, Ghana, India,
Mexico, Russian
Federation, and
South Africa (WHO-
SAGE)
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Data with similar structure can also be
adapted
• United States (Panel Survey of Income
Dynamics)
• Singapore (SCHS)
• Taiwan (TLSA)
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Different collaboration models
• Based on US code – Embed a programmer at USC (Singapore FEM, Los
Angeles County FEM)
– Regular development calls (Mexico FEM)
– Less regular development calls (Italian FEM)
• Independent development, but
collaborative on research – Japanese FEM, Compas
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Transition Model Data
• Longitudinal panel – Ideally: Regular follow-up time, nationally
representative, through death
• Samples large enough to support the
analyses of interest – Subpopulations, rare diseases
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Cost Model Data Requirements
• Different approaches: – Longitudinal panel
– Cross-sectional snapshot
– Claims data
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Replenishing Cohort Data Requirements
• Trends for replenishing cohorts for
status in future years: – Risk factors (smoking, BMI, etc.)
– Chronic diseases
– Demographics (population size, education, etc.)
– Economic status (work status, earnings, etc.)
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Other Data Requirements
• Benefit algorithms if applicable – Public pensions, disability programs, etc.
• All-cause mortality adjustment
• Immigration forecasts
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