Refutes common beliefs that deter efforts to measure and improve psychotherapy's effectiveness and to reduce its costs, asserting that (1) therapy outcomes and costs may in some cases be inversely related, (2) therapists should examine cost-effectiveness, (3) psychotherapeutic effectiveness can be quantified, and (4) laboratory research is not the only way to improve therapy. The authors propose a revitalized scientist–practitioner model, expanded research methodologies, and implementation of alternative incentive or service delivery mechanisms as steps toward obtaining better therapeutic outcomes from available dollars. (33 ref)