bca.transportationeconomics.orgTransportation Benefit-Cost Analysis

this site Navigation Benefit-Cost Analysis When to Use Benefit-Cost Analysis BCA vs. Economic Impact Analysis Analysis Framework Perspective and Scope Defining Alternatives Geographic Scope Level of Effort Project Description Project Schedule Analysis Purpose Project Objectives and Impacts Time Period of Analysis Benefits Travel Time Categories Issues to Consider Vehicle Costs Methodology Safety Valuing Accidents Change in Accident Rates Total Accident Value Emissions Methodology Prioritizing Projects Greenhouse Gases Induced Travel Estimating Induced Travel Evaluating Benefits Further Reading Travel Time Reliability Reliability and BCA Noise Measuring and Estimating Noise Noise Abatement Very Large Projects Construction Disbenefits Habitat and Water Quality Economic Effects Community Impacts Parking Costs Equity and Option Value Benefits Costs Initial Costs Continuing Costs Rehabilitation Costs End of Project Costs Types of Measures Benefit-Cost Ratio Net Present Value Cost Effectiveness Internal Rate of Return Payback Period Graphical Representation Calculation Issues Valuing Benefits Contingent Valuation Hedonic Pricing Inflation Discounting Transfers and Double Counting Joint and Sunk Costs Uncertainty Sensitivity Analysis Presentation BCA Models and Tools Parameters Published Guidance and References Other Websites Acknowledgements TRB Transportation Economics Committee Sitemap Benefit-Cost Analysis Benefit-Cost Analysis, also referred to as Cost-Benefit Analysis, is a systematic process for calculating and comparing benefits and costs of a project for two purposes: to determine if it is a sound investment (justification/feasibility) to see how it compares with alternate projects (ranking/priority assignment) Benefit-Cost Analysis works by defining the project and any alternatives; then by identifying, measuring, and valuing the benefits and costs of each. When should benefit-cost analysis be used? This website leads users, step by step, through the process of benefit-cost analysis, explaining concepts, describing methodologies, and suggesting additional resources. Topics 1 through 4 below guide the user through the analysis. Topics 5 through 7 provide examples of benefit-cost analysis and references for further information. Use the sidebar to navigate between these topics. What You Will Find on This Website How to define the problem that the project addresses and set up the analysis How to measure and value benefits and costs of transportation projects Types of measures and calculation issues How to interpret and present the results of benefit-cost analysis Sample benefit-cost models and links to model sites Case studies of benefit-cost analyses for transportation projects Published guidance and references and other websites All topics related to benefits and costs and their measurement methodologies are defined, then summarized, and then discussed in greater detail. For people wanting further detail, the site provides links and references. Acknowledgments This website is maintained by volunteers affiliated with the Transportation Economics Committee of the Transportation Research Board (TRB). It is based upon a site hosted by the California Department of Transportation Office of Transportation Economics . The original site was created by the California Center for Innovative Transportation at the Institute of Transportation Studies at the University of California at Berkeley and the Planning, Economics and Finance Committee of the American Society of Civil Engineers. The TRB Transportation Economics Committee welcomes input and edits from qualified individuals. Please contact the Committee if you would like to offer comments and suggestions or collaborate on the website. Additional acknowledgments can be found here . Copyright Permission Use Permission Some material contained here may be copyrighted, and this website does not modify any underlying copyright status. Permission is granted to copy, distribute, display and/or modify the material included here, but only for classroom and non-commercial purposes. Permission is given with the understanding that none of the material will be used to imply TRB or FHWA endorsement of a particular product, method, or practice. Those copying, distributing, displaying or modifying the material in this document for classroom use will give appropriate acknowledgment of the source of any material. For other uses of the material, individuals must request permission from the copyright holder or from the Committee, as appropriate. Rights Contributors Grant With Respect To Their Submissions The Committee welcomes your comments. However, if you are not prepared to have your contributions redistributed or edited, then do not submit to this site. You grant to the Committee and any third party a license to copy, distribute, display and/or modify any submissions you provide here consistent with the terms described above. You also certify that you prepared any contributions yourself, or copied it from a public domain or similar unrestricted resource. DO NOT SUBMIT COPYRIGHTED WORK WITHOUT FIRST OBTAINING PERMISSION. THE COMMITTEE RESERVES THE RIGHT TO REMOVE ANY MATERIAL DEEMED INFRINGING OR POTENTIALLY INFRINGING. Disclaimer: Any opinions, findings, or conclusions expressed on this website are those of the authors and do not necessarily reflect the views of the Transportation Research Board or The National Academies. The material displayed here is provided as a public service and is presented AS IS” and without warranty of any kind. The Committee neither reviews nor endorses any submissions to this site. Sign in | Report Abuse | Print Page | Powered By Google...