Make economic evaluation (benefit-cost analysis) an essential component of the education policy toolkit¶

Strategy · All strategies
Evidence · 1 claim (1 mixed) · 1 study (1 theoretical), q2 · 0 of 1 report an effect size · 1 claim rests on one study

Description¶

The report recommends expanding the use of benefit-cost analysis to monetize the impacts of education interventions: "policy guidance would greatly benefit from making it an essential component of the toolkit used to uncover the full returns and their distribution of any new investments." This strategy helps policymakers compare costs to measurable gains, realize the magnitude of benefits, and uncover the real costs of inaction when investments are not made.

Design Implications¶

Context¶

Requirements¶

• Access to data on program costs and outcomes over time sufficient to monetize impacts and estimate net benefits

Constraints¶

• The report notes a gap in time between when costs are faced and when benefits materialize, which can be an obstacle to supporting investments at scale

Target Learners¶

• All students, particularly those from underserved backgrounds whose interventions require long-term evaluation

Target Learning Goals¶

• Informed education policy decision-making based on full accounting of returns and their distribution

Affordances¶

• Human Capital Theory Education Productivity Framework

Claims¶

• The report's loss estimates are conservative because they exclude health, psychological, family, community, and broader societal costs that cannot be monetized [~W]

Related Strategies¶

Examples¶

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Key Sources¶

• García, E., Levin, H. (2025). Investing in Our Nation's Future: Advancing Educational Opportunity for Underserved Students. Los Angeles, CA: The Civil Rights Project/Proyecto Derechos Civiles, UCLA. https://escholarship.org/uc/item/29h9c9dn