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cost-benefit analysis |
Also found in: Medical, Financial, Acronyms, Wikipedia | 0.01 sec. |
cost-benefit analysisIn governmental planning and budgeting, the attempt to measure the social benefits of a proposed project in monetary terms and compare them with its costs. The procedure was first proposed in 1844 by Arsène-Jules-Étienne-Juvénal Dupuit (1804–66). It was not seriously applied until the 1936 U.S. Flood Control Act, which required that the benefits of flood-control projects exceed their costs. A cost-benefit ratio is determined by dividing the projected benefits of a program by the projected costs. A wide range of variables, including nonquantitative ones such as quality of life, are often considered because the value of the benefits may be indirect or projected far into the future. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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The benefit/cost analysis must take into consideration expenditures on the treatment group made by all outside organizations, even if Project NetWork did not reimburse these expenditures. Federal guidelines allow for benefit/cost analysis, unit day values, travel cost methods, and contingent valuation methodology. |
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