Various techniques have been proposed to curb cross-border drug smuggling into a country. The costs of implementing each strategy along a particularly rugged section of the border are indicated below. The table also includes a score that is compiled based on deterrence, interdiction, and apprehension, with a higher score indicating better performance. For a budget of $60 million, determine which techniques should be employed on the basis of a cost-effectiveness analysis.
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Methods are independent. Calculate CER values, rank in increasing order, select lowest CER until budget is exceeded.
CER = cost/score
CERAerostats = 3.8/ 8 = 0.48
CERBoots = 31.4/52 = 0.60
CERFence = 18.7/12 = 1.56
CERMotion = 9.8/7 = 1.40
CERSeismic = 8.3/5 = 1.66
CERDrones = 12.1/26 = 0.47
Ordering: drones, aerostats, boots, motion, seismic, fence
Total cost = 12.1 + 3.8 + 31.4 + 9.8 = $57.1 million
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