Economic analyses are an important evaluation to conduct prior to the implementation of a new orthopaedic procedure or technology. Ideally, a new procedure, device, or drug should be both effective in improving patient outcomes, as well as cost‐effective before it is implemented into clinical practice. This chapter provides an overview of the different types of economic analyses, the costs to consider in economic evaluations, the perspectives of economic analyses, and the appropriate time horizon, sensitivity analyses, and the interpretation of the results from economic analyses. Examples from the orthopaedic literature are provided for each type of economic analysis.