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Significance of Cost effectiveness

Cost effectiveness is the evaluation of the economic value of a treatment or intervention in relation to its costs and outcomes. This concept is crucial in various fields including drug formulation, healthcare interventions, and treatment methods. It determines how effectively a product achieves desired results for its cost, guiding decisions on treatment options. Cost effectiveness allows for comparisons between different therapies, like Ayurvedic versus modern treatments, and assesses their financial viability while ensuring quality care and optimal resource utilization.

Synonyms: Economic efficiency, Value for money, Return on investment, Cost-benefit ratio, Affordability, Financial viability, Economic feasibility

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The concept of Cost effectiveness in scientific sources