Simplifying the Model
摘要
Although the VR-ROI model provides a state-of-the-art approach for ROI analysis of VR, the model’s complexity can render interpreting and assessing the benefits of VR challenging. Moreover, the models are difficult to estimate and require advanced computational methods, statistical knowledge, programming skills, and computing resources. This complexity can make it prohibitive for VR agency staff to estimate and use such models to evaluate the ROI of VR programs in other states and time periods. Given these practical concerns, a critical issue is determining whether a simplified model and estimator can provide credible agency-specific ROI estimates. Focusing on the North Carolina program as a case study, we estimate the benefits and net present value (NPV) of VR from simpler models that are relatively easy to understand and can be estimated using standard statistical software packages on a laptop computer.