scholarly journals Financial evaluation of competitive ability of fruit growing in Bosnia and Herzegovina

2004 ◽  
Vol 44 (161) ◽  
pp. 193-203 ◽  
Author(s):  
Ferhat Cejvanovic ◽  
Crtomir Rozman
Keyword(s):  
Decision Making ◽  
Agricultural Production ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Economic Indicators ◽  
Benefit Analysis ◽  
Social Community ◽  
The Social ◽  
Fruit Growing ◽  
The Cost

Before making a decision to invest in fruit growing, an investor needs to have the basic information on which to base his decision. This information contains sufficient economic indicators to form the basis for the decision making. The decision should be based, first of all, on economic profitability of the investment. Cost-benefit analysis is a method which provides the decision maker with the information about a number of economic indicators regarding the desired investment, from its profitability and competitiveness to the return on investment period, etc. This paper deals with the cost-benefit analysis in the decision-making process concerning economic profitability of investing in agricultural production, namely the newly planted fruit. Cost-benefit analysis has many advantages compared with the other known methods. It has proved very useful in agricultural production since it makes it possible to estimate the profitability of investment in very specific conditions of agricultural production, taking into account numerous factors of its economic efficiency as well as the main effects that may be expected both by individual producers and the social community as a whole.

scholarly journals FEATURES OF MODERN STAGES OF ANALYSIS OF BENEFITS AND COSTS

2021 ◽  
Author(s):  
Tetyana Kibuk
Keyword(s):  
Decision Making ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Benefit Analysis ◽  
Present Value ◽  
Public Project ◽  
The Public ◽  
The Social ◽  
The Cost ◽  
Benefits And Costs

The article is devoted to the study of one of the most relevant and widely used tools of the modern decision-making process at the national and international levels – cost-benefit analysis (CBA). The article defines the purpose of the cost-benefit analysis. Three approaches to the selection of CBA stages are analyzed, among which there are three, from five to seven and ten stages. Their advantages and disadvantages are highlighted. The modern stages of the analysis of benefits and costs are systematized, namely: determining the level of analysis and its purpose; identification of alternatives to the public project; identification of the list of benefits and costs of the project; valuation in monetary terms of certain benefits and costs; establishing project evaluation criteria; discounting benefits and costs to obtain the present value of the project; determination of the net present value of social project options; analysis of the sensitivity of the social project; analysis of the distribution of existing benefits from the public project and selection one project among several alternative ones for implementation. The figures of the choice of existing alternatives of the public project are analyzed. Existing types of project costs are identified, including direct, indirect, tangible, intangible, opportunity and real costs. The list of benefits investigated by the analysis is determined, which include: monetary, non-monetary and intangible benefits. The difference between monetary valuation of project benefits and costs at shadow and market prices is investigated. The most common selection criteria in the modern project decision-making process are analyzed. The peculiarities of the formation of the social discount rate are highlighted. The features of sensitivity analysis and the purpose for its implementation are determined. Existing types of uncertainty and ways to overcome them are summarized, namely knowledge uncertainty, policy uncertainty and future uncertainty. The specifics of decision making in the cost-benefit analysis are studied. Further directions of research of problematic questions of the cost-benefit analysis in modern economy are identified.

Environmental costs and their impact on the net present value of a hydro-electric project in Kerala, India

2003 ◽  
Vol 8 (2) ◽  
pp. 311-330 ◽  
Author(s):  
V. Santhakumar ◽  
Achin Chakraborty
Keyword(s):  
Net Present Value ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Environmental Costs ◽  
Benefit Analysis ◽  
Costs And Benefits ◽  
Net Benefit ◽  
Pulp Industry ◽  
The Social ◽  
The Cost

This paper presents the operational procedures involved in incorporating the environmental costs in the cost–benefit analysis of a hydro-electric project. The proposed project, if implemented, would result in the loss of 2,800 hectares of tropical forests and dislocation of two settlements of about 200 families who are currently dependent on the forests for their livelihood. The forests are mainly used for extracting reed – a material used both by traditional artisans and the paper-pulp industry. The potential environmental costs and benefits of the project are identified and approximate estimates of some of these costs are made for items such as carbon sequestration, bio-diversity, and so on, based on similar estimates made elsewhere. These estimated environmental costs are incorporated into the analysis, and the hypothetical estimate of the non-use value, which would make the project's net benefit zero, is estimated under different discount rates. The analysis brings into sharp focus some crucial factors that have a direct bearing on the social trade-off involved in the project choice.

scholarly journals A NEW SIMPLIFIED DECISION MAKING SYSTEM FOR SMALL PROJECTS

2017 ◽  
Vol 5 ◽  
pp. 480-485 ◽  
Author(s):  
Secărea Tudorel
Keyword(s):  
Decision Making ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Decision Making Process ◽  
Benefit Analysis ◽  
Limited Budget ◽  
Decision Making System ◽  
The Cost ◽  
High Degree ◽  
Bare Minimum

Making decisions on funding or not funding projects is the most difficult process in management, especially for the state services that have a limited budget. The aim of this study is to establish a new simplified system for evaluating small projects based on translating all values into economic terms. The new system tries to simplify the Cost-Benefit Analysis (on which it is based) to the bare minimum and still keep a high degree of relevance to the decision-making process. The conclusions were somewhat remarkable, mostly because the system gives accurate and relevant data for comparing projects despite its simplicity. The other big benefit of this system is its simple nature and ease of understanding even for people with no economic studies.The applied part of this paper involves an analysis of real projects in Brasov County – Romania and the results of applying Cost-Benefit Analysis and the new method for evaluating projects.The paper concludes proposing a new, modern and simple system for improving decision making on small projects.

scholarly journals Road Supply in Central London: Addition of an Ignored Social Cost

2014 ◽  
Author(s):  
Omid M. Rouhani ◽  
Christopher R. Knittel ◽  
Debbie Niemeier
Keyword(s):  
Social Cost ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Cost Curve ◽  
Benefit Analysis ◽  
Long Run ◽  
The Social ◽  
Land Rents ◽  
The Cost ◽  
Congestion Charging

Studies examining the social cost of driving usually ignore the opportunity cost of having roads in place: the associated land rents. Especially for geographic regions where land is valuable, including the rent costs may even lead governments to close some roads. By using the London congestion charging zone case, a more general long-run social cost curve is calculated with the addition of the rents. Based on the optimal road usage concept, this study found that including the rents in the cost/benefit analysis significantly affects the results and can increase the social cost by up to 200% and decrease the optimal road usage by 40%.

Estimating the Social Cost of Using Agricultural Land in the Punjab

1975 ◽  
Vol 14 (3) ◽  
pp. 296-314
Author(s):  
Shahrukh Rafi Khan
Keyword(s):  
Social Cost ◽  
Agricultural Land ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Benefit Analysis ◽  
Policy Makers ◽  
The Social ◽  
Sugar Mills ◽  
A Site ◽  
The Cost

Pakistan, like any developing country, must regularly divert some of the scarce agricultural land to an alternative use—to another crop, to a site for a reservoir or a plant for processing agriculture's output, or to industrial, com¬mercial or housing purposes. This paper is an exercise in estimating he social cost of releasing agricultural land in the Punjab for use in another activity. It will, hopefully, serve as a model for planners and policy-makers who are con¬fronted with specific projects requiring cost-benefit analysis. For example, Pakistan's Fifth Five-Year Plan calls for construction of numerous sugar mills, sites for which will require an estimated 100 acres of agricultural land per mill. The-cost of using this land for sugar refining may be expressed in terms of the net value of the agricultural output foregone. Similarly, if cane cultivation > is extended to provide input for the refineries, its cost must be evaluated by the value of the crops which are foregone.

scholarly journals The Politics of Cost-Benefit Analysis

2019 ◽  
Author(s):  
Niek Mouter
Keyword(s):  
Decision Making ◽  
Cost Benefit Analysis ◽  
Belief Systems ◽  
Cost Benefit ◽  
Sensitivity Analyses ◽  
Statistical Relation ◽  
Benefit Analysis ◽  
Value Judgments ◽  
The Social ◽  
Political Decisions

Cost-benefit analysis (CBA) is a widely used economic appraisal method that aims to support politicians in making decisions about projects and policies. Several researchers have tried to uncover the extent to which CBA actually impacts decision-making by investigating the statistical relation between the results of CBA studies and political decisions. Although these studies show that there is no significant statistical relation between the outcomes of CBA studies and political decisions, there is clear evidence that the institutionalization of CBA affects the planning and decision-making process within the bureaucracy. Civil servants, for instance, use CBAs to government projects in the early phases of the planning process. The literature identifies various barriers that hamper politicians’ use of CBA when forming their opinion. First, politicians often receive results of CBA studies too late in the process. When politicians receive a CBA after they already made up their mind and communicated their viewpoint, the chance is low that the results of the CBA will (substantially) influence their decision. A second important barrier that limits the use of CBA by politicians is that they do not have enough trust in CBA’s impartiality. A third barrier is that politicians contest value judgments implicit in CBA. The literature distinguishes six ideological value judgments that inevitably need to be made when conducting a CBA: (a) Which individuals have standing in a CBA? (b) Which preferences have standing in a CBA? (c) Which procedure is used to value impacts? (d) On which dimensions are standard numbers differentiated? (e) Which weight is assigned to preferences of individuals in the social welfare function? (f) Which approach is adopted to select the social discount rate? The implication of the fact that CBA analysts cannot escape from making value judgments when conducing the study is that CBA is currently a problematic tool for democratic decision-making because, when applied in practice, the analysis is based on a specific set of politically loaded premises that fosters (damages) the interests of politicians (not) endorsing these premises. It is possible to overcome this problem through informing politicians about the extent to which switching value judgements leads to different CBA outcomes. The introduction of so-called normative sensitivity analyses safeguards that politicians with different belief systems are equally equipped to use the results of a CBA to arrive at a well-founded evaluation of a government project.

Cost-Benefit Analysis of Evidence Law and Factfinding

2021 ◽  
pp. 137-154
Author(s):  
Talia Fisher
Keyword(s):  
Cost Benefit Analysis ◽  
Cost Minimization ◽  
Cost Benefit ◽  
Benefit Analysis ◽  
Optimal Behavior ◽  
The Social ◽  
Evidence Law ◽  
Social Costs And Benefits ◽  
Evidence And Proof ◽  
The Cost

Utility considerations have been central to legal factfinding, at least since the days of Jeremy Bentham, the founding father of utilitarianism and a prominent evidence law theorist. A direct line can be drawn from Bentham’s “principle of utility” to cost-benefit analysis (CBA) so it would seem only natural that the realms of evidence law and judicial factfinding would harbor this type of reasoning. However, when legal scholarship began to incorporate economic reasoning and to address issues from a CBA perspective, evidence law and the practice of judicial factfinding remained very much out of the picture. The object of this chapter is to highlight the prospects for integrating CBA into contemporary evidentiary policy and institutions, and to draw the general contours of the evolving scholarship in these fields of research. It describes and analyzes two economically driven models of evidence and proof: the cost-minimization model, geared toward minimization of the cost of errors and the cost of accuracy as a total sum, and the primary behavior model aiming to incentivize socially optimal behavior and interactions. This analysis identifies the models’ difficulties, engendered, for the most part, by the misalignment between the private and the social costs and benefits of adjudication, and addresses the models’ relationship to the existing evidentiary rules and institutions.

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