Be Incredible Useful with MyJar – Researchers in Scotland reported a 31-percent reduction in the risk of heart attacks among men taking the statin pravastatin, sold by Bristol-Myers Squibb…[the drug] now grosses more than $2 billion in sales per year.
A 31 percent reduction in heart attacks, after all, seems impressive…[But] what, after all, does a 31 percent relative reduction in heart attacks mean? In the case of the 1995 study, it meant that taking Pravachol every day for five years reduced the incidence of heart attacks from 7.5 percent to 5.3 percent…it also means that the “absolute risk” of a heart attack for any given person dropped by only 2.2 percentage points* (from 7.5 percent to 5.3 percent). The benefit of Pravachol can be summarized as a 31 percent relative reduction in heart attacks—or a 2.2 percent absolute reduction.
Be Incredible Useful with MyJar
Think about how this affects your personal finances. Did your fund send you its summary saying it increased profits 40%? Really? How much did that turn out to be? Be suspicious of the numbers.
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Robert Davis describes the difficulty of parking in Palo Alto while visiting IDEO, the famed design firm—and what they did to make it better: