Abstract
Cost–benefit analysis (CBA) is a technique based on the theory of welfare economics, which is used by governments worldwide to appraise both policies and projects. In this article, the theory behind CBA is explained, the method is set out in brief, and the problems of applying it to environmental issues are summarized. Several examples are given of the use of CBA in practice.
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Schedule a callMore From: Encyclopedia of Energy, Natural Resource, and Environmental Economics
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