In a cost-benefit analysis, what is primarily compared to reach a decision?

In a cost-benefit analysis, the primary focus is to compare all possible options alongside their associated costs and benefits. This method allows decision-makers to evaluate the economic feasibility and effectiveness of different alternatives by quantifying the expected benefits against the costs incurred. The goal is to identify the option that yields the maximum net benefit, which helps in determining the most efficient allocation of resources.

This approach is essential in various contexts, especially in healthcare, where investments in new technologies, treatments, or programs need to be justified. By systematically analyzing costs and benefits, stakeholders can make informed decisions that optimize health outcomes while considering budget constraints. This thorough comparison underpins the rational decision-making process within the framework of healthcare law and ethics.