A Problem for Government STAGE 6: Policy Termination STAGE 1: Agenda Setting STAGE 5: Policy Change STAGE 2: Policy Formulation STAGE 4: Policy Evaluation STAGE 3: Policy Implementation
6 Monitor Policy Outcomes 5 Select Preferred Policies 1 Verify, Define, and Detail the Problem 4 Evaluate Alternative Policies 2 Establish Evaluation Criteria 3 Identify Alternative Policies
Cost Effectiveness Analysis: Comparing Cost per Health Outcome for Alternative Treatments Opportunity Costs Health Outcomes: Changes in Health Status Resulting from Alternative Treatments Health Care Resources Doctors Nurses Pharmaceuticals Medical Equipment Health Care Hospital Treatments Medical Treatments Preventive Practices Health Levels of Individuals H1 H2 H3
Cost Benefit Analysis: Comparing Benefits from Resources in Competing Uses Health Care Resources Doctors Nurses Pharmaceuticals Medical Equipment Opportunity Costs: Determining Alternative Uses of Resources, Benefits Foregone, and Community Evaluation of Foregone Benefits Health Care Production Relationship: Production of Health Care Using Health Resources Hospital Treatments Medical Treatments Preventive Practices Health Levels Of Individuals H1 H2 H3 Hn Effectiveness Relationship: Effectiveness of Health Care in Producing Health Social Benefits: Value of Benefits from Resources Used in Health Social Value of Health V 1 V 2 V 3 V n
PV B = B 0 + B 1 /(1 + r) + B 2 /(1 + r) 2 PV C = C 0 + C 1 /(1 + r) + C 2 /(1 + ) 2..