TRA720 Cost-Benefit Analysis with Applications in Transport Infrastructure (Spring 2024)
- ECTS Credits:
- 7.5
- Responsible faculty:
- Avdeling for logistikk
- Campus:
- Molde
- Course Leader:
- Tassew Dufera Tolcha
- Teaching language:
- English
- Study level:
- {code=HN, name=Second degree level}
- Duration:
- ½ year
Table of contents
Contents
In this course, we will discuss an analytical approach to evaluation of public investments and other decisions. Focus will be on Cost-Benefit Analysis (CBA), which is the method most commonly recommended by researchers and governments. We will discuss key aspects of project evaluation such as how to value benefits and costs, how to account for events in different points of time, how to deal with market imperfections and distributional considerations. We will also discuss uncertainty and critique against formal evaluation methods as well as the role of such methods in decision-making.
Examples will be mainly from the transport sector since this is the sector where CBA is applied most systematically and much of the theoretical development originate. We will introduce different types of relevant transport modes and their characteristics as an introduction to the CBA examples. Other examples and applications may also be discussed if we have time (e.g. applications to health care and environment).
The course is connected to the following study programs
- Master in Logistics
- Master in Economics and Business Administration
- Exchange programme - Master's level
Required prerequisite knowledge
Recommended knowledge
Reduction of Credits
This course’s contents overlap with the following courses. A reduction of credits will occur if one of these courses is taken in addition:
| Course | Reduction of Credits |
|---|---|
| TRA700 – Transportation Infrastructure Assessment. | 7.5 |
| SØK701 – Cost Benefit Analysis. | 7.5 |
The student's learning outcomes after passing the exam
After completing the course, the student should have acquired the following:
Knowledge
- A good overview of the theoretical foundation for cost-benefit analysis and how they are applied onto relevant transport modes.
- Knowledge about the regulatory and planning framework within which these analyses are made, with focus on current international practice.
- Knowledge about the strengths and weaknesses of this analytical framework
- In-depth knowledge about one selected aspect or topic in which then student choose to specialise
Skills
- Ability to apply the theories and analytical models presented in the course to carry out case studies
Competence
- Improved analytical and writing abilities through the process of assignment writing
Forms of teaching and learning
Exam
- Form of assessment: School assessment
- Proportion: 60%
- Duration: 4 hours
- Grouping: Individual
- Grading scale: Letter (A - F)
- Support material: All printed and written supporting material + calculator with empty memory
- Form of assessment: Home assessment
- Proportion: 40%
- Duration: 1 semester
- Grouping: Group
- Grading scale: Letter (A - F)
- Support material: -