Chapter 14 The theory of cost-benefit analysis

Drèze, Jean; Stern, Nicholas

doi:10.1016/s1573-4420(87)80009-5

Cited by 299 publications

(231 citation statements)

References 72 publications

Supporting

Mentioning

222

Contrasting

Unclassified

Order By: Relevance

“…The most famous programme of this sort is probably the "Employment Guarantee Scheme" (E6S) of the State of Maharashtra in India; see Abraham (1980), Dandekar (1983), Herring andEdwards (1983), Lieberman (1985). The EGS provided substantial relief during the severe 1970-73 droughts in Maharashtra; see Oughton (1982) and Dreze (1986). Recent advocates of relief work as an anti-hunger policy include Jodha (1978), Rath (1985), Walker et.…”

Section: Relief Work and Transfers To The Unemployedmentioning

confidence: 99%

“…Transfer benefits and costs to other persons may also be involved. For a thorough treatment of the theory of shadow pricing see Dreze and Stern (1985). 8 associated with labour market dualism between the traditional (rural) sector and the modern (urban) sector in which real wages are relatively rigid.…”

Section: Relief Work and Transfers To The Unemployedmentioning

confidence: 99%

“…The transfer benefits also matter when the objective in allocating relief work is to maximize a broader concept of social welfare. The appropriate shadow wage rate for the evaluating relief work is then the marginal social product of labour in alternative employment less the marginal social value of all transfers involved, including that of the worker's income gain (Little andMirrlees, 1974, Dreze andStern, 1985).…”

Section: The Seasonal Allocation Of Relief Workmentioning

confidence: 99%

See 2 more Smart Citations

Market Responses to Anti-hunger Policies: Effects on Wages, Prices and Employment

Ravallion¹

1991

The Political Economy of Hunger: Volume 2: Famine Prevention

View full text Add to dashboard Cite

show abstract

Section: Relief Work and Transfers To The Unemployedmentioning

confidence: 99%

Section: Relief Work and Transfers To The Unemployedmentioning

confidence: 99%

Section: The Seasonal Allocation Of Relief Workmentioning

confidence: 99%

See 1 more Smart Citation

Market Responses to Anti-hunger Policies: Effects on Wages, Prices and Employment

Ravallion¹

1991

The Political Economy of Hunger: Volume 2: Famine Prevention

View full text Add to dashboard Cite

show abstract

“…I i = _ K i , i = 0; 1; :::; n, which, in vector form can be expressed as I = _ K, given K(0) = K 0 > 0. At each point in time t, consumption C(t) and investment I(t) are allocated within the (m + n) dimensional attainable-possibility set S (K(t); ), conditional on a collection of "parameters", , (Drèze and Stern, 1987), where the set is assumed to be strictly convex. The parameter may represent any premise that modi…es the feasible set for consumption and investment allocations.…”

Section: Model Setup and The Generic Cost-bene…t Rulementioning

confidence: 99%

Dynamic cost–benefit analysis of large projects: The role of capital cost

Löfgren

2010

Economics Letters

View full text Add to dashboard Cite

This paper derives a dynamic cost-bene…t rule for evaluating large projects.We show that, in addition to the conventional income and consumer surplus measures, the rule also entails an extra term involving capital cost changes.JEL: D6, D9, H4.Keywords: cost-bene…t rule; large project; and capital cost.Chuan-Zhong Li, Department of Economics, Uppsala University, and Karl-Guataf Löfgren, Department of Economics, Umeå University. The authors would like to thank an anonymous referee for valuable comments and suggestions. The usual disclaimer applies.

show abstract

“…Squire and van der Tak (1975) refined the methodology further to take account of income distribution effects, as did Reutlinger (1970) to take account of uncertainty. More recent generalizations and refinements of the theory of cost-benefit analysis are reviewed, for example, in Dreze and Stern (1987) and Squire (1989).…”

mentioning

confidence: 99%

Project Evaluation and Uncertainty in Practice: A Statistical Analysis of Rate-of-Return Divergences of 1,015 World Bank Projects

Pohl

Mihaljek

1992

World Bank Econ Rev

View full text Add to dashboard Cite

The World Bank's long history of project financing provides a unique opportunity to quantify the level of uncertainty in public sector investment projects in developing countries and to assess the effects of cost-benefit analysis on investment decisions. For projects whose costs and benefits are reasonably amenable to quantification, Bank staff calculate economic rates of return at appraisal and again at project completion (after construction works have been completed and the project begins normal operations). For more than 1,000 projects, economic rate of return estimates now are available for both appraisal and completion. The difference between these two estimates provides an interesting empirical measure of the uncertainty of development projects financed by the World Bank.Cost-benefit analysis is a standard appraisal tool for selecting development projects at the World Bank and other development finance institutions. Several governments also have adopted these techniques in planning public investment projects. The World Bank broadly follows the Little-Mirrlees (1968, 1974 methodology, which expanded earlier approaches to cost-benefit analysis to take

show abstract

Chapter 14 The theory of cost-benefit analysis

Cited by 299 publications

References 72 publications

Market Responses to Anti-hunger Policies: Effects on Wages, Prices and Employment

Market Responses to Anti-hunger Policies: Effects on Wages, Prices and Employment

Dynamic cost–benefit analysis of large projects: The role of capital cost

Project Evaluation and Uncertainty in Practice: A Statistical Analysis of Rate-of-Return Divergences of 1,015 World Bank Projects

Contact Info

Product

Resources

About