Economic modeling showed Project ALERT was cost-effective for general students and cost-saving when targeted to at-risk boys not engaged in education or work.
Read this if you're involved in decisions about funding school-based drug prevention programs.
$3.20 return per $1 invested when targeted to at-risk boys
What the researchers found
Researchers used a Markov model to evaluate the cost-effectiveness of Project ALERT, a school-based substance prevention program, compared to standard drug education. The model tracked students through states of single use, regular use, daily use, and progression to other drugs, accounting for complications like psychosis, depression, and traffic accidents.
Based on US effectiveness data, the program was cost-saving (returning $1.10 for every $1 spent). After adjusting for the Swedish context, it was cost-effective at 22,384 euros per quality-adjusted life-year (QALY), well below the willingness-to-pay threshold of 50,000 euros.
When targeted specifically to at-risk boys (those not in education or work), the program became cost-saving after 9 years (returning $3.20 for every $1 spent after 20 years). This demonstrated that targeted prevention in high-risk groups provides substantially better economic returns.
Why it matters
Governments need economic evidence to justify prevention spending. This study demonstrates that school-based cannabis prevention programs are not just effective but economically rational investments, especially when targeted to high-risk populations.
The numbers in context
Cost-saving at 1:1.1 ratio based on US data. Cost-effective at 22,384 euros/QALY in Swedish context. Targeted to at-risk boys: cost-saving after 9 years, 1:3.2 ratio at 20 years. Willingness-to-pay threshold: 50,000 euros/QALY.
How the study worked
Cost-effectiveness analysis from the societal perspective using a Markov model. Based on Project ALERT effectiveness data, modeling progression through cannabis use states and complications. Follow-up periods from 1 year to lifetime. Costs inflated to 2013 levels with 3% discounting.
What this study cannot tell us
Economic modeling relies on assumptions about state transitions and complication rates. US effectiveness data was adjusted for Sweden, introducing uncertainty. Long-term projections over 20+ years involve substantial modeling assumptions. The effectiveness of Project ALERT specifically has been debated.
How to read the evidence
Health economic modeling study based on effectiveness data from a prior randomized trial, with assumptions adapted for the Swedish context.
When this study was published
Published in 2015. Cannabis policy landscape has shifted significantly since.
The bigger picture
As cannabis legalization expands, the case for investing in evidence-based prevention programs strengthens. This economic analysis shows that such programs can pay for themselves, particularly when focused on the students most at risk of progressing to problematic use.
Questions still open
- Would newer prevention programs show even better cost-effectiveness? How do results change under different legalization regimes? Is targeting high-risk students feasible without stigmatization?
Common questions
Are school drug prevention programs worth the cost?
Should prevention be targeted to specific students?
Read the original research
Cost-Effectiveness of School-Based Prevention of Cannabis Use.
Applied health economics and health policy, 13(5), 525-42
Citation
Deogan, Charlotte; Zarabi, Natalie; Stenström, Nils; Högberg, Pi; Skärstrand, Eva; Manrique-Garcia, Edison; Neovius, Kristian; Månsdotter, Anna. (2015). Cost-Effectiveness of School-Based Prevention of Cannabis Use.. Applied health economics and health policy, 13(5), 525-42. https://doi.org/10.1007/s40258-015-0175-4
Explore the wider topic
- How to Talk to Your Teenager About Weed (Without Losing Them)
- My Kid's Friends Smoke Weed: A Parent's Guide
- I Smoke Weed But Don't Want My Kids To: Navigating the Hypocrisy
- Quitting Weed as a Parent: Why It Is the Hardest and Most Important Quit
- Quitting Weed as a Teen or Young Adult
- My Kid Is Smoking Weed: A Parent's Guide