chapter  6
21 Pages

The cost-benefit approach in practice

This chapter is about how the cost-benefit approach has been applied to problems of health care resource allocation. Against the background of the aims, process and complexities of CBA outlined in chapter 5, section 6.2 presents examples of how particular appraisal studies have attempted to specify alternatives and objectives, to identify, measure and value costs and benefits, to incorporate allowance for differential timing, uncertainty and considerations of equity, and to promote decision-making which is more firmly based on recognition of efficient and equitable projects. The subsequent section (6.3) describes more fully a case study in which we have been involved and assesses its contribution to decision-making.