cost-benefit analysis

USAGE SUMMARY

The phrase 'cost-benefit analysis' is correct and usable in written English.
You can use it anytime you want to refer to an economic evaluation which measures the potential costs and benefits of a project, policy, or decision. For example: "Before making their decision, the school board conducted a cost-benefit analysis to weigh the pros and cons of the proposed changes."

✓ Grammatically correct

News & Media

Academia

Science

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

It is just a cost-benefit analysis".

The New York Times

Because of victimisation and cost-benefit analysis.

Independent

Some pirate characteristics resist cost-benefit analysis.

The New Yorker

A Cost-Benefit Analysis of Legalizing Marijuana,".

Harvard University

Cost-benefit analysis of nuclear safety.

University of California, Berkeley

In 1971, Mishan produced his textbook Cost-Benefit Analysis.

The Guardian - Books

The issue comes down to a cost-benefit analysis.

The New Yorker

The cost-benefit analysis depends on your priorities.

The New Yorker

Write a short cost-benefit analysis of this program.

The New York Times

"The reason is they don't use cost-benefit analysis".

The New York Times

The reason may be a simple cost-benefit analysis.

The New York Times

Expert writing Tips

Best practice

When conducting a "cost-benefit analysis", clearly define all costs and benefits, both tangible and intangible, to ensure a comprehensive evaluation.

Common error

Avoid limiting your "cost-benefit analysis" to purely financial metrics. Incorporate intangible benefits like improved employee morale or enhanced brand reputation for a more accurate assessment.

Linguistic Context

The phrase "cost-benefit analysis" functions as a noun phrase, typically used as a subject or object in a sentence. It denotes a systematic process of evaluating the advantages (benefits) and disadvantages (costs) of a decision, project, or policy. Ludwig confirms its proper usage.

Expression frequency: Very common

Frequent in

News & Media

35%

Academia

30%

Science

15%

Less common in

Formal & Business

10%

Encyclopedias

5%

Reference

5%

Ludwig's WRAP-UP

The phrase "cost-benefit analysis" is a common and grammatically correct noun phrase used to describe a method for evaluating the pros and cons of a project, policy, or decision. As confirmed by Ludwig, it is employed across various fields, including news, academia, and science. This analysis helps in informed decision-making by systematically comparing the costs and benefits, with examples showing its application in diverse scenarios such as legalizing marijuana, nuclear safety, and infrastructure projects. While the phrase is prevalent in professional settings, it's crucial to avoid overlooking intangible benefits and to clearly define all costs and benefits for an accurate assessment.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

economic evaluation

Focuses specifically on the financial aspects of the analysis.

feasibility study

Highlights the practicality and viability of a project.

risk-benefit analysis

Emphasizes the assessment of potential risks alongside benefits.

impact assessment

Broadens the scope to include all potential impacts, not just financial.

trade-off analysis

Focuses on the compromises made when choosing between options.

return on investment (ROI) analysis

Highlights the profitability aspect of a project or investment.

value assessment

Focuses on the overall value derived, not just monetary gains.

opportunity cost analysis

Considers the potential benefits foregone by choosing one option over another.

decision analysis

A broader term encompassing various methods for making informed decisions.

effectiveness study

Emphasizes the degree to which something is successful in producing a desired result.

FAQs

How is a "cost-benefit analysis" used in project management?

In project management, a "cost-benefit analysis" helps determine if a project's potential benefits outweigh its costs. It aids in deciding whether to proceed with a project, modify it, or abandon it altogether.

What are the limitations of using a "cost-benefit analysis"?

Limitations include the difficulty in accurately quantifying all costs and benefits, the potential for bias in the selection of factors, and the neglect of distributional effects (i.e., who benefits and who bears the costs). Additionally, a "sensitivity analysis" might be needed to check for possible assumptions or parameters of low confidence.

What is the difference between "cost-benefit analysis" and "cost-effectiveness analysis"?

"Cost-benefit analysis" assigns a monetary value to both costs and benefits, while "cost-effectiveness analysis" measures benefits in non-monetary units (e.g., years of life saved) and compares them to costs in monetary units.

What are some alternatives to "cost-benefit analysis"?

Alternatives include "risk assessment", "environmental impact assessment", and "multi-criteria analysis", which may be more suitable when benefits are difficult to monetize or when multiple conflicting objectives exist.