Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education

In this paper we discuss how comparative cost-effectiveness analyses can help inform policy in developing countries and the underlying methodological assumptions necessary for performing this kind of analysis. This paper does not suggest a single set of “correct” assumptions, because the assumptions...

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Main Authors: Dhaliwal, Iqbal, Duflo, Esther, Glennerster, Rachel, Tulloch, Caitlin
Other Authors: Massachusetts Institute of Technology. Department of Economics
Format: Article
Language:en_US
Published: University of Chicago Press 2018
Online Access:http://hdl.handle.net/1721.1/116111
https://orcid.org/0000-0001-6105-617X
https://orcid.org/0000-0002-9345-4858
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author Dhaliwal, Iqbal
Duflo, Esther
Glennerster, Rachel
Tulloch, Caitlin
author2 Massachusetts Institute of Technology. Department of Economics
author_facet Massachusetts Institute of Technology. Department of Economics
Dhaliwal, Iqbal
Duflo, Esther
Glennerster, Rachel
Tulloch, Caitlin
author_sort Dhaliwal, Iqbal
collection MIT
description In this paper we discuss how comparative cost-effectiveness analyses can help inform policy in developing countries and the underlying methodological assumptions necessary for performing this kind of analysis. This paper does not suggest a single set of “correct” assumptions, because the assumptions adopted in a costeffectiveness analysis should reflect the perspective of the intended user. Rather, we discuss the issues surrounding many of these assumptions, such as what discount rate to use or whether to include cash transfers as program costs, and make recommendations on which assumptions might be reasonable given the perspective of a policymaker allocating resources between different projects. Examples are drawn from the education field to illustrate key issues and focus on specific applications to education. We hope this paper will contribute to the development of a more standard methodology for cost-effectiveness analyses and a better understanding of how these analyses can be created and used.
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spelling mit-1721.1/1161112022-09-23T12:27:07Z Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education Dhaliwal, Iqbal Duflo, Esther Glennerster, Rachel Tulloch, Caitlin Massachusetts Institute of Technology. Department of Economics Duflo, Esther Dhaliwal, Iqbal Duflo, Esther Glennerster, Rachel Tulloch, Caitlin In this paper we discuss how comparative cost-effectiveness analyses can help inform policy in developing countries and the underlying methodological assumptions necessary for performing this kind of analysis. This paper does not suggest a single set of “correct” assumptions, because the assumptions adopted in a costeffectiveness analysis should reflect the perspective of the intended user. Rather, we discuss the issues surrounding many of these assumptions, such as what discount rate to use or whether to include cash transfers as program costs, and make recommendations on which assumptions might be reasonable given the perspective of a policymaker allocating resources between different projects. Examples are drawn from the education field to illustrate key issues and focus on specific applications to education. We hope this paper will contribute to the development of a more standard methodology for cost-effectiveness analyses and a better understanding of how these analyses can be created and used. 2018-06-05T18:02:39Z 2018-06-05T18:02:39Z 2013-12 Article http://purl.org/eprint/type/BookItem 9780226078717 9780226078687 9780226078854 http://hdl.handle.net/1721.1/116111 Dhaliwal, Iqbal et. al. "Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education." Education Policy in Developing Countries, edited by Paul Glewwe, University of Chicago Press, 2013. https://orcid.org/0000-0001-6105-617X https://orcid.org/0000-0002-9345-4858 en_US http://press.uchicago.edu/ucp/books/book/chicago/E/bo16835736.html Education Policy in Developing Countries Creative Commons Attribution-Noncommercial-Share Alike http://creativecommons.org/licenses/by-nc-sa/4.0/ application/pdf University of Chicago Press Duflo via Nick Albaugh
spellingShingle Dhaliwal, Iqbal
Duflo, Esther
Glennerster, Rachel
Tulloch, Caitlin
Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education
title Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education
title_full Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education
title_fullStr Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education
title_full_unstemmed Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education
title_short Comparative Cost-Effectiveness Analysis to Inform Policy in Developing Countries: A General Framework with Applications for Education
title_sort comparative cost effectiveness analysis to inform policy in developing countries a general framework with applications for education
url http://hdl.handle.net/1721.1/116111
https://orcid.org/0000-0001-6105-617X
https://orcid.org/0000-0002-9345-4858
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