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Related Experiment Videos

Health-related cost-to-benefit measurement. A difficult sell in a "show me the money" era.

Max Morton1, Lynn Gilfillan-Morton

  • 1DogBonez Consulting, Colorado Springs, USA. dogbonez@adelphia.net

Michigan Health & Hospitals
|July 31, 2003
PubMed
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Cost-benefit analysis uses mathematical models to evaluate the financial outcomes of investments. This technique helps guide decisions on future programs, technology, and facilities by assessing potential gains or burdens.

Area of Science:

  • Economics
  • Financial Modeling
  • Investment Analysis

Background:

  • Cost-benefit analysis is a widely used economic technique.
  • It is essential for guiding budgetary and investment decisions.
  • Understanding financial implications is crucial for strategic planning.

Purpose of the Study:

  • To define the "cost to benefit" as a specific methodology.
  • To explain its application in guiding budgetary and investment scenarios.
  • To highlight its role in prospective financial assessment.

Main Methods:

  • Utilizes computer mathematical models.
  • Employs prospective analysis to forecast financial outcomes.
  • Evaluates both short-term and long-term financial impacts.

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Main Results:

  • Identifies potential financial gains from investments.
  • Quantifies potential financial burdens associated with investments.
  • Provides a framework for comparing investment options.

Conclusions:

  • The cost-benefit methodology offers a structured approach to investment appraisal.
  • It enables informed decision-making by quantifying financial projections.
  • Essential for evaluating the financial viability of future programs, technologies, and facilities.