When evaluating policies in development economics, provide an example of using the counterfactual.

Counterfactual analysis helps in evaluating the causes of particular action and their respective results. It determines the outcome of the individual benefited when no intervention is present. The impact of the action is determined by comparing the counterfactual outcomes. Consider and example, the local initiative can compel the creation of more innovative facilities to grow prawns that would otherwise not be possible without any initiative.