Equity

Abstract A basic tenet of economics is that resources are scarce, so it is in the interest of individuals and societies to put them to their best uses. This is the notion underlying allocative efficiency—to get the most for the least. Economic evaluation is a tool to assist with achieving it. Invariably, it requires placing values on both the resources consumed and the consequences their use has produced in order to compare inputs and outputs within and across alternatives. Also inherent in the process is the need to compare and, where appropriate, aggregate costs and consequences across individuals and groups.