<p>This is the final report of Work package III of the AHEAD project, undertaken by PSSRU at the University of Kent, UK. \ud \ud The main output of this work-package was designed to be the estimation, based on the European Community Household Panel (ECHP) full dataset, of annual probabilities of transition between health states, including two states regarded as absorbing: permanent institutionalisation and death. The purpose of this work is to serve as a building-block for estimating healthy life expectancy and forecasting the future health expenditure needs of populations. The report breaks new ground in providing comparative information on rates of long-stay entry to permant health care institutions for people over 65.</p
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