scholarly journals A cost-benefit analysis of Tulsa’s IDA program

2013 ◽  
Vol 4 (3) ◽  
pp. 263-300 ◽  
Author(s):  
David H. Greenberg
Keyword(s):  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Individual Development ◽  
Random Assignment ◽  
Benefit Analysis ◽  
Positive Effects ◽  
Net Benefits ◽  
The Impact ◽  
Benefits And Costs ◽  
Observation Period

This article presents findings from a cost-benefit analysis of the Tulsa Individual Development Account (IDA) program, a demonstration program that was initiated in the late 1990s and is being evaluated through random assignment. The program put particular emphasis on using savings subsidies to help participants accumulate housing assets. The key follow-up data used in the evaluation was collected around 10 years after random assignment, about 6 years after the program ended. The results imply that, during this 10-year observation period, program participants gained from the program and that the program resulted in net costs to the government and private donors, and that society as a whole was probably worse off as a consequence of the program. The article examines in some detail whether these findings are robust to a number of different considerations, including the assumptions upon which the results depend, uncertainly reflected by the standard errors of the impact estimates used to derive the benefits and costs, and omitted benefits and costs, and concludes that they are essentially robust. For example, a Monte Carlo analysis suggests that the probability that the societal net benefits of the Tulsa program were negative during the observation period is over 90% and that the probability that the loss to society exceeded $1000 is 80%. Further analysis considered benefits and costs that might occur beyond the observation period. Based on this analysis, it appeared plausible, although far from certain, that the societal net benefits of the Tulsa program could eventually become positive. This would occur if the program’s apparent positive net impact on educational attainment generates substantial positive effects on the earnings of program participants after the observation period ended. However, there was no evidence that the educational impacts had yet begun to produce positive effects on earnings by the end of the observation period.

The Economics of Physics: The Social Cost-Benefit Analysis of Large Research Infrastructures

2020 ◽  
Author(s):  
Massimo Florio ◽  
Chiara Pancotti
Keyword(s):  
Social Cost ◽  
Cost Benefit Analysis ◽  
Shadow Price ◽  
Cost Benefit ◽  
Use Value ◽  
Benefit Analysis ◽  
Research Infrastructures ◽  
European Investment ◽  
The Impact ◽  
Benefits And Costs

In economics, infrastructure is a long-term investment aimed at the delivery of essential services to a large number of users, such as those in the field of transport, energy, or telecommunications. A research infrastructure (RI) is a single-sited, distributed, virtual, or mobile facility, designed to deliver scientific services to communities of scientists. In physical sciences (including astronomy and astrophysics, particle and nuclear physics, analytical physics, medical physics), the RI paradigm has found several large-scale applications, such as radio telescopes, neutrino detectors, gravitational wave interferometers, particle colliders and heavy ion beams, high intensity lasers, synchrotron light sources, spallation neutron sources, and hadrontherapy facilities. These RIs require substantial capital and operation expenditures and are ultimately funded by taxpayers. In social cost–benefit analysis (CBA), the impact of an investment project is measured by the intertemporal difference of benefits and costs accruing to different agents. Benefits and costs are quantified and valued through a common metric and using the marginal social opportunity costs of goods (or shadow price) that may differ from the market price, as markets are often incomplete or imperfect. The key strength of CBA is that it produces information about the project’s net contribution to society that is summarized in simple numerical indicators, such as the net present value of a project. For any RIs, consolidated cost accounting should include intertemporal capital and operational expenditure both for the main managing body and for experimental collaborations or other external teams, including in-kind contributions. As far as social intertemporal benefits are concerned, it is convenient to divide them into two broad classes. The first class of benefits accrue to different categories of direct and indirect users of infrastructure services: scientists, students, firms benefiting from technological spillovers, consumers of innovative services and products, and citizens who are involved in outreach activities. The empirical estimation of the use value of an RI depends on the scientific specificities of each project, as different social groups are involved to different degrees. Second, there are benefits for the general public of non-users: these benefits are associated with social preferences for scientific research, even when the use of a discovery is unknown. In analogy with the valuation of environmental and cultural goods, the empirical approach to non-use value aims at eliciting the willingness to pay of citizens for the scientific knowledge that is created by an RI. This can be done by well-designed contingency valuation surveys. While some socio-economic impact studies of RIs in physics have been available since the 1980s, the intangible nature of some benefits and the uncertainty associated with scientific discoveries have limited the diffusion of CBA in this field until recently. Nevertheless, recent studies have explored the application of CBA to RIs in physics. Moreover, the European Commission, the European Strategy Forum on Research Infrastructures, the European Investment Bank, and some national authorities suggest that the study of social benefits and costs of RIs should be part of the process leading to funding decisions.

Application of a Tax to E-Commerce Deliveries in Barcelona

2021 ◽  
pp. 036119812110124
Author(s):  
Genís Majoral ◽  
Francesc Gasparín ◽  
Sergi Saurí
Keyword(s):  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Supply Side ◽  
Environmental Tax ◽  
Positive Outcomes ◽  
Demand Side ◽  
Benefit Analysis ◽  
Revenue Collection ◽  
Last Mile ◽  
The Impact

The number of e-commerce transactions is increasing worldwide. Deliveries of goods purchased online generate externalities throughout the whole supply chain and, particularly, the increasing concern about the last-mile distribution of goods. The escalating presence of vans in cities contributes to poor air quality, climate change, noise, and congestion. So far, the majority of solutions to address this issue are based on the supply side, such as electric vans, optimizing the routing and pick-up-points, and so forth. Even in other transport sectors, pricing solutions are well known, yet they have not been extended to e-commerce delivery. This paper aims to propose an environmental tax falling on the demand side and equaling the externalities from this activity. The analysis has been particularized for the case of Barcelona. A cost–benefit analysis to assess the impact of such a tax has been carried out. When revenue collection is reinvested in the logistics sector, and for subsidizing electric distribution vehicles, the results indicate that the levying of the tax can generate positive outcomes.

scholarly journals Modelling the impact of rapid diagnostic tests on Plasmodium vivax malaria in South Korea: a cost–benefit analysis

2021 ◽  
Vol 6 (2) ◽  
pp. e004292
Author(s):  
Jung Ho Kim ◽  
Jiyeon Suh ◽  
Woon Ji Lee ◽  
Heun Choi ◽  
Jong-Dae Kim ◽  
...  
Keyword(s):  
South Korea ◽  
Plasmodium Vivax ◽  
Diagnostic Tests ◽  
Cost Benefit Analysis ◽  
Malaria Incidence ◽  
Cost Benefit ◽  
Medical Costs ◽  
Rapid Diagnostic Tests ◽  
Benefit Analysis ◽  
The Impact

BackgroundRapid diagnostic tests (RDTs) are widely used for diagnosing Plasmodium vivax malaria, especially in resource-limited countries. However, the impact of RDTs on P. vivax malaria incidence and national medical costs has not been evaluated. We assessed the impact of RDT implementation on P. vivax malaria incidence and overall medical expenditures in South Korea and performed a cost–benefit analysis from the payer’s perspective.MethodsWe developed a dynamic compartmental model for P. vivax malaria transmission in South Korea using delay differential equations. Long latency and seasonality were incorporated into the model, which was calibrated to civilian malaria incidences during 2014–2018. We then estimated averted malaria cases and total medical costs from two diagnostic scenarios: microscopy only and both microscopy and RDTs. Medical costs were extracted based on data from a hospital in an at-risk area for P. vivax malaria and were validated using Health Insurance Review and Assessment Service data. We conducted a cost–benefit analysis of RDTs using the incremental benefit:cost ratio (IBCR) considering only medical costs and performed a probabilistic sensitivity analysis to reflect the uncertainties of model parameters, costs and benefits.ResultsThe results showed that 55.3% of new P. vivax malaria cases were averted, and $696 214 in medical costs was saved over 10 years after RDT introduction. The estimated IBCR was 2.5, indicating that RDT implementation was beneficial, compared with microscopy alone. The IBCR was sensitive to the diagnosis time reduction, infectious period and short latency period, and provided beneficial results in a benefit over $10.6 or RDT cost under $39.7.ConclusionsThe model simulation suggested that RDTs could significantly reduce P. vivax malaria incidence and medical costs. Moreover, cost–benefit analysis demonstrated that the introduction of RDTs was beneficial over microscopy alone. These results support the need for widespread adoption of RDTs.

scholarly journals Impacts of Coal Railroad Transportation Project on GDP Promotion and Unemployment Reduction in Bengkulu Province, Indonesia

2013 ◽  
Vol 216 ◽  
pp. 02-24
Author(s):  
PAULUS KURNIAWAN ◽  
KEMBAR SRI BUDHI ◽  
SUYANA UTAMA ◽  
MAHAENDRA YASA
Keyword(s):  
Significant Contribution ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Economic Indicator ◽  
Internal Rate Of Return ◽  
Benefit Analysis ◽  
Cost Benefit Ratio ◽  
Railroad System ◽  
The Unemployed ◽  
The Impact

massive, advanced and integrated railroad system for coal transportation (referred to hereafter as ?Project?) from Muara Enim, Sumatra Selatan Province to the new coal port at Pulau Baai, Bengkulu Province, Indonesia is developed by a private investor together with the local government (PEMDA) of Bengkulu Province to make the best use of abundant coal resources in the region. This paper analyzes the impact of this Project on the Bengkulu economy, which is currently considered low. The Gross Domestic Product (GDP) is adopted as the economic indicator. The study combines the theories of export base and economic base, economic and regional developments, cost-benefit analysis and economic impact study with the empirical data. The results show the Project?s financial feasibility with Cost-Benefit Ratio of 1.61, Internal Rate of Return of 21.1% and Payback Period of 5 years, which will provide a significant contribution to the Bengkulu GDP growth and a decrease of 821,600 people among the unemployed.

Illustrating the Monetary Impact of Transportation Projects/Alternatives using the Values of Travel Time and Travel Time Reliability

2018 ◽  
Vol 2672 (51) ◽  
pp. 88-98 ◽  
Author(s):  
Venkata R. Duddu ◽  
Srinivas S. Pulugurtha ◽  
Praveena Penmetsa
Keyword(s):  
Travel Time ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Transportation Systems ◽  
Travel Time Reliability ◽  
Benefit Analysis ◽  
Transportation Projects ◽  
Travel Time Savings ◽  
Time Savings ◽  
The Impact

State agencies, regional agencies, cities, towns, and local municipalities design and maintain transportation systems for the benefit of users by improving mobility, reducing travel time, and enhancing safety. Cost–benefit analysis based on travel time savings and the value of reliability helps these agencies in prioritizing transportation projects or when evaluating transportation alternatives. This paper illustrates the use of monetary values of travel time savings and travel time reliability, computed for the state of North Carolina, to help assess the impact of transportation projects or alternatives. The results obtained indicate that, based on the illustration of the effect and impact of various transportation projects or alternatives, both improved travel time and reliability on roads yield significant monetary benefits. However, from cost–benefit analysis, it is observed that greater benefits can be achieved through improved reliability compared with benefits from a decrease in travel time for a given section of road.

WELFARE-REDUCING GROWTH AND COST-BENEFIT ANALYSIS: ESSAY IN MEMORY OF E.J. MISHAN

2016 ◽  
Vol 61 (03) ◽  
pp. 1640013 ◽  
Author(s):  
YEW-KWANG NG
Keyword(s):  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Environmental Concerns ◽  
Benefit Analysis ◽  
Negative Effects ◽  
Positive Effects ◽  
One Child Policy ◽  
Child Policy ◽  
Biased Sex Ratio ◽  
The One

Mishan’s emphasis on the costs of economic growth half a century ago is becoming more important in this era of environmental concerns. More recently, another possible source of immiserizing growth is the one-child policy (recently relaxed) of China. This resulted in a biased sex-ratio and higher competition to earn incomes (to increase the probability of getting a wife), resulting in positive effects on GDP but negative effects on welfare. The implications of welfare-reducing growth for cost-benefit analysis and the legalization of prostitution are also discussed.

Risk in Public Sector Project Appraisal: It Mostly Does Not Matter!

2017 ◽  
Vol 22 (4) ◽  
pp. 301-321 ◽  
Author(s):  
Mark A. Moore ◽  
Anthony E. Boardman ◽  
Aidan R. Vining
Keyword(s):  
Risk Premium ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Benefit Analysis ◽  
Public Project ◽  
Aggregate Consumption ◽  
Project Appraisal ◽  
Expected Values ◽  
Net Benefits ◽  
Special Circumstances

Public project appraisal using cost-benefit analysis (CBA) requires analysts to project risky net benefits and to convert these into present values using a social discount rate (SDR). We consider which types of risk matter for CBA. For small projects with only idiosyncratic risks, expected net benefits should be discounted at a risk-free SDR. If projects are large or expected net benefits are correlated with aggregate consumption, the alternatives are to replace expected net benefits with their certainty equivalents (CEs) and to discount these at a risk-free SDR, or to discount expected net benefits using a higher SDR that includes a risk premium. These methods are equivalent under special circumstances that are unlikely; the first approach is the correct one. We examine when replacing expected values with CEs will matter, and how this might be done. For most projects, analysts should discount expected values of net benefits at a risk-free SDR.

Preliminary Cost-Benefit Analysis (CBA) for Safety Assist Technologies in ASEAN NCAP – Rationalizing the Impact to Road Safety for Malaysia’s Case

2014 ◽  
Vol 663 ◽  
pp. 596-603
Author(s):  
Zulhaidi Mohd Jawi ◽  
Aqbal Hafeez Ariffin ◽  
Yahaya Ahmad ◽  
Khairil Anwar Abu Kassim ◽  
Norlen Mohamed ◽  
...  
Keyword(s):  
Road Safety ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Cost Effective ◽  
Cost Ratio ◽  
Benefit Analysis ◽  
Benefit Cost Ratio ◽  
Benefit Cost ◽  
The Impact ◽  
Rating Scheme

The newly established New Car Assessment Program for Southeast Asian Countries (ASEAN NCAP) has incorporated Safety Assist Technologies (SATs) in its automobile safety rating scheme. In order for any assessed car to be eligible for the maximum 5-star rating, it should first be equipped with Electronic Stability Control (ESC) and fitted with seatbelt reminder (SBR). However, since these SATs are not being evaluated in their performance by the means of field testing, this paper explains the benefit of having these SATs through Cost-Benefit Analysis (CBA) which help to rationalize the importance of SATs in preventing road accidents or mitigating severity of injuries. Due to data limitation, this preliminary CBA assessment will only be focusing on Malaysia’s situation and is based on published sources and the authors’ best estimates. This study also includes the Cost-Benefit Analysis on Anti-lock Braking System (ABS), which is the basis for ESC technology, in preparation for its inclusion in the future rating scheme to expedite the vision of making ABS as standard fit in all ASEAN’s passenger cars. The preliminary result shows that all technologies – ESC, SBR and ABS – appear to be cost-effective (benefit/cost-ratio > 3) or most likely cost effective (1 < benefit/cost-ratio < 3) in Malaysia’s road safety situation per se.

scholarly journals Can we improve academic performance and student satisfaction without additional time cost for teachers? Evidence from a blended methodology in Microeconomics

2019 ◽  
Vol 6 (2) ◽  
pp. 54
Author(s):  
Anett Erdmann ◽  
Alfonso Jesús Torres Marín
Keyword(s):  
Student Satisfaction ◽  
Cost Benefit Analysis ◽  
Cost Benefit ◽  
Economic Benefits ◽  
Study Time ◽  
Time Cost ◽  
Benefit Analysis ◽  
Additional Time ◽  
Learning Platform ◽  
The Impact

<p><strong>Purpose</strong>: The main goal of this paper is to determine if the use of a blended methodology can improve performance and satisfaction of the students, with no additional time cost for teachers. As a second objective, the article attempts to explain observed differences across students in the effect of the methodology on study time based on the theory of optimal decision making. Finally, we sketch a simple cost benefit analysis for the digital learning platform (DLP) used.</p><p><strong>Design</strong>: The teachers combined the traditional classes methodology with the adoption of a DLP in two courses of Microeconomics at an undergraduate level at ESIC Business &amp; Marketing School. Subsequently it is analyzed the impact of this methodology on student satisfaction and performance, as well as on student’s study time using different analytical tools.</p><p><strong>Findings:</strong>  students’ grades, at the final exam, increased in a significative way as they spent more time with the DLP and/or when they do more digital assignments at home. Their satisfaction with the blended methodology, and the use of the DLP was quite high for most of students. Their feedback on working time relative to traditional methods showed two extremes, either studying much more or much less. We provide a theoretical explanation for this observation, based on Microeconomic theory.  A cost-benefit analysis of the DLP tool at an institutional level suggests that its economic costs are more than justified by the economic benefits of the tool in terms of student’s satisfaction, brand reputation and teachers time saving.</p><p><strong>Contribution:</strong> This document provides a methodology to measure the benefits of an innovative learning methodology using relevant indicators and employing advanced statistical techniques as regression analysis. It also helps us to understand student’s behavior in the face of an educational innovation based on technology. The findings are in line with economic theory.</p>

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