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Cost-Effectiveness

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kallen: Cost-Effectiveness The two major strategies that can be used in evaluating program outcomes are cost-benefit analysis and cost-effectiveness analysis. Cost-benefit analysis gives the implication that it is possible to place a monetary value...

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kallen saved this page on 07/19/2012 05:07am

Cost-Effectiveness The two major strategies that can be used in evaluating program outcomes are cost-benefit analysis and cost-effectiveness analysis. Cost-benefit analysis gives the implication that it is possible to place a monetary value on all the costs and benefits of a given strategy or program. To make decisions, the present value of costs should be compared to the present value of the benefits of the program. Cost-effectiveness analysis on the other hand is an alternative can be used in place of cost-benefit analysis. This type of analysis is mainly used when there are constraints preventing analysts from conducting cost-benefit analysis. Among the common constraints is lack of the ability to monetize benefits reaped from a given program of strategy (Aday, 2001). The vulnerable Infants Program of Rhode Island, VIP-RI is a program designed to enhance the ability of the community to manage cases of drug-exposed children who are at a…

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