In the context of health planning, 'Zero-Based Budgeting' (ZBB) differs from 'Incremental Budgeting' in that ZBB:

• A Automatically increases the previous year's budget by a fixed percentage
• B Excludes capital expenditures from the budgeting process
• C Allocates funds based solely on disease burden statistics
• D Requires all expenditures to be justified from scratch for each new period ✓

Explanation

Zero-Based Budgeting requires every expense to be justified for each new period, starting from a 'zero base,' regardless of previous budgets. Incremental budgeting simply adjusts the previous year's figures. ZBB forces managers to evaluate all activities and priorities afresh, making it more rigorous but more resource-intensive. It is a key concept in health economics and management.

Reference: Essentials of Public Health Management / Park's Textbook of Preventive and Social Medicine, 26th ed.

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