NCRM videos

What is Cost Benefit and Cost Effectiveness Analysis? by Prof. Katherine Payne

23-03-2013

The process of generating information on the relative costs and benefits of a specific technology is called economic evaluation.New healthcare technologies must be funded from a constrained healthcare budget, which is generally set each year for a defined jurisdiction and population of current and future patients. Within this setting of scarcity, the introduction of a new technology will displace health-care technologies currently being used by patients in the health service. It is, therefore, important to identify and value both the benefits and costs of new technologies. Only by doing so, can decision-makers judge whether the use of scarce resources is appropriate.