He is also a faculty research fellow at the National Bureau of Economic Research. Dr. Basu's research interests lie in revealing heterogeneity in clinical and economic outcomes in order to establish the value of individualized care. His work has focused on translating such information for public policy using innovative methods in comparative effectiveness and cost-effectiveness research. Dr. Basu has developed methods dealing with issues related to modeling health expenditure data, which is renowned for its idiosyncrasies and the difficulties it poses for applied health services researchers. He has also worked on methods used for making causal inferences using observational data. His applied work spans many dimensions that include analyzing the cost-effectiveness of prostate cancer treatments, establishing the value of individualized care based on patient preferences, developing models to predict quality of life of patients with multiple comorbidities, measuring the effect of patients' health on the quality of life of their partners, developing novel methods to estimate long-term costs of prostate cancer therapies, estimating the future value of research in diagnosing and finding a cure for Duchenne muscular dystrophy, developing simulation models for evaluating the cost-effectiveness of pharmacological treatment algorithms in schizophrenia, and comparative effectiveness research on the dynamic intensification of glucose lowering therapies in diabetes.