Cost Benefit Analysis and Evaluation

Faculty
Commerce & Business Administration
Department
Economics
Course Code
ECON 3360
Credits
3.00
Semester Length
15 Weeks X 4 Hours per Week= 60 Hours
Max Class Size
35
Method Of Instruction
Lecture
Seminar
Typically Offered
To be determined

Overview

Course Description
This course is designed to introduce students to the basic principles of Cost-Benefit Analysis. It provides the opportunity to enhance both analytical and quantitative skills required for effective Cost-Benefit Analysis of various public and private projects and to evaluate and influence the design of policy design and government regulations. Topics include project evaluation techniques, common C-B measures, correct accounting measures of time, costs, and benefits, the measurement of social value and welfare change, shadow prices, present and future values, accounting for intangibles, the determination of the appropriate discount rate, inflation, contingent valuation, public enterprise pricing rules, and the incorporation of risk and uncertainty.
Course Content
  1. Introduction
  2. CBA, purpose and applications
  3. Foundations of CBA
  4. Measuring efficiency, willingness-to-pay, compensation, and political process
  5. Measurement of changes in welfare, consumer surplus and efficiency
  6. Cost and benefit evaluation in primary markets
  7. Cost and benefit evaluation in secondary market
  8. Timing, discounting, and future values
  9. Expected values and uncertainty
  10. Social discount rate
  11. Shadow prices
  12. Applications and examples
Methods Of Instruction

Lecture and seminar

Means of Assessment

Means of Assessment:

Term test(s) 25% - 50%

Assignments/ projects 10% - 35%

Final Exam 30% - 40% 

Total 100%

(no individual test or assignment to exceed 40%)

Learning Outcomes

At the end of the course, the successful student should be able to:

  1. Compare methodologies and assess information requirements for cost-benefit analysis (CBA)
  2. Critique and compare the common cost-benefit analysis measures
  3. Evaluate and demonstrate an understanding of the concepts of social welfare, market failure and efficient resource allocation
  4. Correctly account for and measure time, costs, and benefits
  5. Explain the distributional consequences of changes in social surplus which result from policies, projects, and programs
  6. Apply and evaluate discounting methods for inter-temporal comparisons of costs and benefits
  7. Analyze the impact of uncertainty on cost-benefit analysis
  8. Explain how to use cost-benefit analysis as a tool to provide economic advice and evaluate government policy
Textbook Materials

The textbook is:

A.E. Boardman, D.H. Greenberg, A.R. Vining, and D.L. Weimer, Cost-Benefit Analysis: Concepts and Practice, Pearson Education.

or textbook as approved by the Economics Department.

Requisites

Prerequisites

Corequisites

No corequisite courses.

Equivalencies

No equivalent courses.

Requisite for

This course is not required for any other course.

Course Guidelines

Course Guidelines for previous years are viewable by selecting the version desired. If you took this course and do not see a listing for the starting semester / year of the course, consider the previous version as the applicable version.

Course Transfers

Institution Transfer Details Effective Dates
College of New Caledonia (CNC) CNC ECON 2XX (3) 2018/01/01 to -
College of the Rockies (COTR) COTR ECON 2XX (3) 2018/01/01 to -
Coquitlam College (COQU) No credit 2018/01/01 to -
University Canada West (UCW) UCW ECON 3XX (3) 2018/01/01 to -
University of Northern BC (UNBC) UNBC ECON 451 (3) 2018/01/01 to -
University of the Fraser Valley (UFV) UFV ECON 3XX (3) 2018/01/01 to -
University of Victoria (UVIC) UVIC ECON 2XX (1.5) 2018/01/01 to -
Vancouver Community College (VCC) No credit 2018/01/01 to -

Course Offerings

Winter 2021

There aren't any scheduled upcoming offerings for this course.