Methods of assessing the actual and potential efficiency of alternative instructional strategies, including those which depend heavily upon mechanical and electronic instructional aids, are explored in this essay. The paper also compares the problem of evaluating educational outcomes with that of evaluating government outputs in general, and discusses the strengths and weaknesses of the systems analysis approach. Finally, an extended example is given which is designed to illustrate an analytical procedure for determining costs and to provide insights into the place of audiovisual materials in contemporary education. (SP)