A Cost-Benefit Analysis of a Highway Is Difficult to Conduct

question 82

Multiple Choice

A cost-benefit analysis of a highway is difficult to conduct because analysts

• A)cannot estimate the explicit cost of a project that has not been completed.
• B)are unlikely to have access to costs on similar projects.
• C)are not able to consider the opportunity cost of resources.
• D)will have difficulty estimating the value of the highway.

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Definitions:

Minimum Standards

Regulations or guidelines that establish the lowest acceptable limits or requirements for a specific action, performance, product or outcome.

Stakeholders

Individuals or groups that have an interest, concern, or stake in a project, company, or decision, affecting or being affected by the outcome.

Employees

Individuals hired by a business or organization to perform work in exchange for compensation.

Social Responsibility

The idea that entities, whether individuals or organizations, are obligated to act for the benefit of society at large.