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A public health department is considering five alternative programs to encourage parents to have their preschool children vaccinated against a communicable disease. The following table shows the cost and number of vaccinations predicted for each program.

Program

Cost

Number of Vaccinations

A

$ 20,000.00

2000

B

$ 44,000.00

4000

C

$ 72,000.00

6000

D

$ 112,000.00

8000

E

$ 150,000.00

10000

a. Ignoring issues of scale, which program is most cost-effective?

b. Assuming that the public health department wishes to vaccinate at least 5,000 children, which program is most cost-effective?

c. If the health department believes that each vaccination provides social benefits equal to $20, then which program should it adopt?

Reference no: EM131284272

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