On the methodology of cost benefit analysis and risk perception

Peter A. Engelmann & Ortwin Renn
Cost benefit analysis is a method to weigh the advantages of a project envisaged against its disadvantages. The balance between cost and benefit as well as general affects toward the object lead to the final decision. The testing of this model has not yet been completed, but first results of experiments and surveys show that there is much evidence for the validity of the concept, although the steps of decisionmaking are not consciously followed up...
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