Policy Appraisal

Objectives

A. Knowledge and Understanding
· Economic valuation concepts and valuation estimation Methods
· Ethical and Equity issues in Policy Analysis
B. Subject-Specific Skills
· How to perform a Cost-Benefit Analysis
C. General Skills
· Analytical Skills and Critical thinking

General characterization

Code

67910

Credits

3.5

Responsible teacher

Maria Clara Reynaud Campos Trocado Costa Duarte

Hours

Weekly - Available soon

Total - Available soon

Teaching language

English

Prerequisites

N/A

Bibliography

BOARDMAN, A., GREENBERG, D, VINNING, A, WEIMER, D., Cost-Benefit Analysis, Concepts and Practice,
Prentice Hall, 4th Ed, 2011.
HANLEY, N., e SPASH, C., Cost-Benefit Analysis and the Environment, Edward Elgar Publishing Limited, 1993.
EUROPEAN COMMISSION, DGRP, Guide to Cost-benefit Analysis of investment projects, June 2008
//ec.europa.eu/regional_policy/sources/docgener/guides/cost/guide2008_en
EUROPEAN COMMISSION, DGRP, Guide to Cost-benefit Analysis of investment projects, Economic appraisal tool
for Cohesion Policy 2014-2020, December 2014.

Teaching method

Classes: Lectures on course topics based on illustrative examples, review and discussion.
The course will involve a good deal of homework mostly required readings and working on handout assignments and
problem sets. On average, students should expect approximately 6/8 hours of work per week outside of the classroom.
There are regular homework assignments and class quizzes. Assignments are due at requested dates on course schedule.
Students may work in a team (Max 3 elements) in assignments but cannot keep the same team for
more than one assignment.

Evaluation method

- Final Exam - 40% - (min grade 9). The final exam will cover the whole course, and will be closed book.
- 3 Homework assignments - 45% (5%; 20%; 20%)
- Class participation and discussion - 15%
Teamwork and homework collaboration is encouraged.

Subject matter

1- Doing Policy Analysis
Overview
Rational for government intervention
Foundations of CBA
2- Cost Benefit Analysis
How to perform a CBA
How to value Benefits and Costs
Limits and alternative tools
3- Issues on Cost Benefit Analysis
WTP or WTA
Discounting
Uncertainty
Use and non-use values.
4- How to estimate non-market valued Benefit and Costs
Revealed Preferences Methods
Stated Preferences Methods
Benefit transfers

Programs

Programs where the course is taught: