Study Examines Cost-Effectiveness of Treatment
A new study funded by the Robert Wood Johnson Foundation (RWJF) found in a cost effectiveness analysis that for every dollar invested into substance abuse treatment, there is a $7 benefit to society. "The study considered the effects of treatment on medical care, mental health services, criminal activity, employment earnings, and government transfer payments (e.g., welfare payments)." The main finding is concluded by "On average, treatment costs $1,600 and is associated with $11,500 in benefits during a nine-month follow-up period to treatment initiation. The net benefits are primarily due to reduced costs of crime and increased employment earnings. The total costs related to crime and incarceration decreased by $7,500 per person treated, while employment earnings increased by $3,400." It should be noted that the RWJF is a health care advocacy group.