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Cost-benefit analysis: a research tool for evaluating innovative health programs
Evaluation & the Health Professions
|May 12, 1979
Summary
Cost-benefit analysis is a valuable tool for evaluating innovative health programs. This method helps health practitioners justify costs to government and third-party payers.
Area of Science:
- Health economics
- Program evaluation
Background:
- Cost-benefit analysis (CBA) is a key economic evaluation technique.
- Cost-effectiveness (C-E) analysis is a related but distinct methodology.
Purpose of the Study:
- To review the methodology of cost-benefit analysis.
- To present and review studies utilizing CBA.
- To describe and contrast cost-effectiveness analysis with CBA.
Main Methods:
- Literature review of studies employing cost-benefit analysis.
- Description and comparison of cost-benefit and cost-effectiveness analysis.
- Review of research articles utilizing cost-effectiveness analysis.
Main Results:
- Cost-benefit analysis provides a framework for economic evaluation.
- Cost-effectiveness analysis offers an alternative evaluation approach.
- Existing literature demonstrates the application of both methodologies.
Conclusions:
- Cost-benefit analysis is recommended for evaluating innovative health programs.
- CBA can facilitate cost justification for health services to payers.
- This methodology is crucial for securing funding for novel health initiatives.
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