Causal Design

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New USAID Policy on Cost-Analysis in Impact Evaluations

USAID released a revised version of its policy on designing and implementing development projects and activities, governed by ADS Chapter 201. This is one of the largest revisions of the ADS in recent years and it includes some significant changes to the way USAID plans to operate its Program Cycle. One single sentence, in particular, stood out to us: All impact evaluations must include a cost-analysis of the intervention or interventions being studied (ADS 201.3.6.4) Economist Kristen Schubert discusses the changes, implications, and challenges for implementing partners…