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Cost-benefit and cost-effectiveness analysis for health promotion programs
1School of Public Health, University of North Carolina, Chapel Hill.
American Journal of Health Promotion : AJHP
|June 8, 1990
Summary
Evaluating health promotion programs requires cost-benefit or cost-effectiveness analysis to determine their value in controlling rising healthcare costs. This guide introduces these analyses and outlines a method for cost-effectiveness assessment.
Area of Science:
- Health Economics
- Public Health Program Evaluation
Background:
- Rising healthcare costs present a significant challenge.
- Health promotion programs are proposed as a solution.
- Assessing program value necessitates economic evaluation.
Purpose of the Study:
- Introduce cost-benefit and cost-effectiveness analysis concepts.
- Compare cost-benefit and cost-effectiveness approaches.
- Present a procedure for basic cost-effectiveness analysis.
Main Methods:
- Literature review of economic evaluation principles.
- Comparative analysis of cost-benefit and cost-effectiveness methodologies.
- Development of a simplified cost-effectiveness analysis framework.
Main Results:
- Cost-benefit analysis quantifies monetary benefits versus costs.
- Cost-effectiveness analysis measures outcomes in natural units (e.g., lives saved).
- A step-by-step procedure for cost-effectiveness analysis is detailed.
Conclusions:
- Economic evaluations are crucial for assessing health promotion programs.
- Cost-effectiveness analysis offers a practical method for program evaluation.
- Health promotion's impact on medical care costs can be systematically assessed.