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In CBA analysis we measure. The net benefits of projects or policies that generate costs and benefits are a period of time. With costs and benefits often occurring in different time polls. But a shilling of costs or benefits ten yes from today is not directly comparable to a shilling costs or benefits today.
We use discounting as a common denomination n for the products.
Input values into CBA
Discounting rate
Rate is influenced by factors like interest rates
- Future rates of economic growth
- Future rates of population growth
- Future rates of inflation
- Future rates of technological change
Benefits
It may include:-
- Monitoring value for marketed goods
- Monitoring value for how marketed directly used goods
- Monitoring value for how marketed passively used goods
- And goods sources for which monitoring rather cannot be measured
Titany answered the question on November 15, 2021 at 08:14
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