This course aims to equip students with the knowledge and skills to understand, apply, and critically evaluate cost-benefit analysis (CBA) in public policy decision-making. Students will learn the fundamental purpose of CBA in assessing the social value of government initiatives and master key concepts and tools for evaluating government activities, including methods for handling uncertainty. The course emphasises practical applications through real-world case studies, primarily focusing on energy, environmental, and transportation policies. Students will examine recent CBAs conducted by government agencies, explore key issues such as distributional effects, and develop the ability to communicate CBA findings effectively. By the end of the course, students will be prepared to contribute to informed decision-making in public policy, equipped with a solid understanding of current CBA practices and challenges.
Learning Outcomes
Upon successful completion, students will have the knowledge and skills to:
- Understand techniques to carry out cost-benefit analysis of programs, policies, and projects.
- Be able to plan and implement cost-benefit analyses.
- Demonstrate an advanced understanding of the strengths and limitations of cost-benefit analysis and alternative approaches.
- Critique cost-benefit analyses prepared by others.
- Communicate cost-benefit analyses and alternative approaches.
Indicative Assessment
- Numerical problem sets (3 x 5%) (15) [LO 1,2,5]
- Blog post (400 words) (5) [LO 1,2,3,4]
- Comment piece (1,500 words) (30) [LO 1,2,3,4,5]
- Final exam (50) [LO 1,2,3,4,5]
The ANU uses Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. While the use of Turnitin is not mandatory, the ANU highly recommends Turnitin is used by both teaching staff and students. For additional information regarding Turnitin please visit the ANU Online website.
Workload
The standard workload is 130 hours including class time and independent study.
Inherent Requirements
Not applicable.
Prescribed Texts
Boardman, AE, Greenberg, DH, Vining, AR & Weimer DL 2018, Cost-Benefit Analysis: Concepts and Practice, 5th edn, Cambridge University Press, Cambridge UK.
Preliminary Reading
Revesz, RL & Livermore, MA 2008, Retaking rationality: How cost-benefit analysis can better protect the environment and our health, Oxford University Press.
Assumed Knowledge
Knowledge in introductory microeconomics and experience with Microsoft Excel are assumed.
Fees
Tuition fees are for the academic year indicated at the top of the page.
Commonwealth Support (CSP) Students
If you have been offered a Commonwealth supported place, your fees are set by the Australian Government for each course. At ANU 1 EFTSL is 48 units (normally 8 x 6-unit courses). More information about your student contribution amount for each course at Fees.
- Student Contribution Band:
- 34
- Unit value:
- 6 units
If you are a domestic graduate coursework student with a Domestic Tuition Fee (DTF) place or international student you will be required to pay course tuition fees (see below). Course tuition fees are indexed annually. Further information for domestic and international students about tuition and other fees can be found at Fees.
Where there is a unit range displayed for this course, not all unit options below may be available.
| Units | EFTSL |
|---|---|
| 6.00 | 0.12500 |
Offerings, Dates and Class Summary Links
ANU utilises MyTimetable to enable students to view the timetable for their enrolled courses, browse, then self-allocate to small teaching activities / tutorials so they can better plan their time. Find out more on the Timetable webpage.