cost-benefit analysis

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Cost-benefit analysis

A method of evaluating projects or investments by comparing the present value or annual value of expected benefits to costs; the practical embodiment of discounted cash flow analysis; a useful technique for making transparent the benefits of upfront investments in sustainable design features or technologies.

cost-benefit analysis

a technique for appraising the total economic costs and benefits (and ideally the total social costs and benefits expressed as economic costs) arising from any economic and social activity, especially new projects. Hitherto, the technique has been mainly used to appraise new, large, public projects. But, in an increasingly ecologically conscious era, the proposal now is that many more existing economic and social activities should be subject to full cost-benefit analysis, with many more costs, e.g. environmental, also included to a fuller extent than previously Cost-benefit analysis is far from being a straightforward technique, however, and much depends on the assumptions on which a costing is made. Careful attention has always to be given to the range of external costs and the range of benefits to be included in the calculations, as well as to the basis on which these can be costed. The results usually leave scope for controversy.

cost-benefit analysis

An analysis of a construction contract with the objective of identifying all the included costs and evaluating their benefits.
References in periodicals archive ?
Other presentations on the Cost Benefit Analysis were done by Mr.
In these cases, cost benefit analysis would need to specify explicitly the income distribution ta rget, document the need and how the project could achieve these objectives.
Mr Pratt said the US vetted legislative proposals, and would not allow those that failed cost benefit analysis to proceed.
Other concerns include: # The extra cost burden on farming businesses is further undermining their already fragile viability; # The current rules are so complicated that they are unworkable;# The cost-benefit analysis called for by the Anderson and Royal Society inquiries to examine the veterinary and economic arguments for implementing the animal movement controls must be balanced by the practical problems that they cause on farms; # Pending the outcome of the cost benefit analysis, the Assembly must insist that the Department for Food and Rural Affairs relax animal movement controls in line with that applied with the Scottish Executive; # The Assembly should also press the Veterinary Laboratory Association to publish the results of the disease risk analysis which was due in September.
The cost benefit analysis is expected to be completed well before the council's summer recess at the end of July.