Cost-benefit analysis is a structured way to evaluate different options using an economic lens

A.    Cost-benefit analysis is a structured way to evaluate different options using an economic lens. For this assignment, you will start thinking about different costs and benefits.

B.     Define three solution options for addressing the water problem you are trying to solve for your final project (1 pt).

C.    For each option, list the direct and indirect costs and benefits in a table (2 pts)

Option A short description: Costs; Benefits Option B short description: Costs; Benefits

Option C short description: Costs; Benefits  

D.    Write a ½ page on ways you might assign economic values to some of these costs and benefits. (1 pt)

E.     Recommend what discount rate you would use and why (1 pt)

F.     This assignment should be no more than one page. You do not need to estimate all of the real costs or benefits of the policy, but should do basic research to outline how you would include estimates given more time. Try to fill out the CBA template, but you only need to turn in your 1page write up with the table.

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