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<br />Benefit-cost analysis, if properly carried out and cogently <br />presented, can be a beneficial tool in public decisionmaking. Important <br />features are: <br />1. The project benefits and costs are presented in the <br />common denominator of dollars. <br /> <br /> <br />2. The public investment is measured over an appropriate <br /> <br /> <br />time period. This advantage is often overlooked but <br /> <br /> <br />is highly significant. <br /> <br /> <br />3. The techniques of benefit-cost analysis allow for comparing <br /> <br /> <br />and ranking multiple alternatives. The method can handle <br /> <br /> <br />a large number of alternatives with less confusion than <br /> <br /> <br />normal narrative presentations. <br /> <br /> <br />Some common objections to BCA are: <br /> <br /> <br />1. Too much reliance can be placed on the results of the <br /> <br /> <br />analysis by the decisionmaking body. Benefit-cost analysis <br /> <br /> <br />is based upon a series of assumptions about physical events. <br /> <br /> <br />The assumptions are only approximations of reality, not <br /> <br /> <br />reality itself, and the results of the analysis should be <br /> <br /> <br />viewed with this in mind. <br /> <br /> <br />2. The prejudices of those making the analysis are always <br /> <br /> <br />incorporated into the analysis. For example, open space is <br /> <br /> <br />valueless to some groups and therefore not considered as <br /> <br /> <br />a benefit, while to others it may be a primary objective. <br /> <br /> <br />3. The question arises as to who receives benefit from a <br /> <br /> <br />public works improvement--the community at large, certain <br /> <br /> <br />sections of private enterprise and/or certain residential <br /> <br /> <br />areas. This information is not always revealed in a BCA. <br /> <br />52 <br />