Monash University Handbook 2010 Undergraduate, Postgraduate - Unit

Synopsis

Topics include development and application of microeconomic theory for the economic evaluation of (public) sector investment projects and policies; investment analysis and criteria, discounting techniques; Pareto potential improvement criterion, shadow pricing, social discount rates, distribution issues, secondary benefits, risk and uncertainty, cost-effectiveness.

Objectives

The learning goals associated with this unit are to:

• apply the analytical framework, economic principles and techniques required for the economic evaluation of investment projects, policies and regulations, especially those involving the public sector
• appreciate the welfare economic foundations upon which economic evaluation is based
• design studies to estimate benefits and costs, in the presence of market distortions (eg controls, taxes and externalities), and for non-marketed goods (for example, time, noise, safety).

Assessment

Within semester assessment: 40%
Examination (3 hours): 60%

Chief examiner(s)

Peter Forsyth

Contact hours

3 hours per week

Prerequisites

ECC4650 or equivalent

Prohibitions

ECX5479