The Core Issue of Cost-Benefit Analyses (Or Cost-Effectiveness Analyses) Is

Essay

The core issue of cost-benefit analyses (or cost-effectiveness analyses) is the unit of analyses used-dollars of benefit per dollar of cost (or units of outcome per dollar of cost). Illustrate the importance of the issue of units of analysis in examining program impacts. How might one err in examining benefits or measuring effectiveness? (Hint: think about choosing outcome variables to measure.)