Benefit-Cost Analysis ((3))

Catalog description

Techniques for evaluating the benefits and costs of projects and policies. Topics include time value of money and financial math, decision rules, expected inflation and relative price changes, discount rates, after-tax analysis, replacement analysis, risk and uncertainty, input constraints and benefit-cost ratios, and use of cost-effectiveness analysis when goals are mandated. Upon completion of the course, students should be able to use benefit-cost analysis to evaluate projects, utilize spreadsheets to make benefit-cost calculations, and concisely report the assumptions and conclusions of a benefit-cost analysis.