Cost-Benefit Analysis

Cost-Benefit Analysis - is a methodology for evaluating the overall efficiency of public or private sector investments. CBA provides a means for aggregating all project benefits and costs - over all times, areas and elements of the society and the economy, and rolling them up to show a single measure of net benefit or benefit/cost ratio.

It is an important economic analysis tool for investment decision-making, alongside the assessment of strategic economic, social and environmental goals and financial feasibility. EDG is a leader in the application of CBA across Europe and abroad, particularly as it relates to the wider economic benefits of transportation projects, energy and environmental policies, economic development programs and urban development investments. Our methods and models portray, from multiple perspectives:

• Public and private capital and operating costs
• Effects on spending and income for users
• Option value and non-money benefits to users
• Wider economic, social and environmental benefits
• Distributional effects on specific industries and populations

A hallmark of our CBA service has been our ability to measure the widest possible range of benefit categories, and then communicate findings in straightforward ways that matter to stakeholders and decision-makers.