How to best use available resources in a world where desires, if not needs, always exceed the capacity to fulfill them.
Concern of Economics
Refers to the concept that use of resources one place precludes their use elsewhere.
Opportunity cost is concerned with _____ _______ ______ rather than with mere ______ _______.
real resource consumption, financial effects
Thus, the _______ of a particular expenditure is the best alternative use of those funds.
The opportunity cost concept suggests that it is not enough to do something useful with the resources available. Action with a net positive effect is still wasteful if the foregone alternative would have had a _____ value.
Where can the greatest benefit be obtained for a given expenditure? - is a question of
Cost effectiveness is purely ________.
Cost-effectiveness is ________ regarding goal selection.,
The measure of efficiency in cost-effectiveness analyses.
Cost effectiveness ratio
What is the cost effectiveness ratio?
health-related outcome (lives saved)
(Cost of program)-(medical and other costs saved)
Equation for incremental analysis?
Shows what each additional symptom free patient costs.