Course overview
- Study period
- Semester 2, 2024 (22/07/2024 - 18/11/2024)
- Study level
- Postgraduate Coursework
- Location
- St Lucia
- Attendance mode
- In Person
- Units
- 2
- Administrative campus
- St Lucia
- Coordinating unit
- Economics School
Use of techniques of applied welfare economics & investment appraisal to undertake benefit/cost analysis of public & private sector projects, using spreadsheets.
Cost benefit analysis (CBA) underpins all implicit and explicit decision making. By undertaking this course students will develop the necessary skills and tools to evaluate the costs and benefits of decisions, projects or policies. More specifically, students will be able to: (1) determine if a project is justifiable by comparing the costs and the benefits, and (2) compare projects/policies to ensure optimal allocation of resources.
Throughout the duration of the course students will apply economic theories and concepts learnt from their prior studies to a CBA framework. ECON7740 will cover specific considerations such as the treatment of risk and uncertainty, externalities, and valuing non-market benefits and costs.ﾠ
ECON7740 will also discuss the intersection of politics, ethics, and methods of cost benefit analysis in the context of environmental, medical, health and public policy evaluations. Students are expected to engage in discussions relating to ethical and social understanding in this course, as well as completion of assessment in this area.ﾠ
The assessment design utilised in this course focuses onﾠstudentsﾠusing and applying knowledge and skills in real-life settings. Students will be introduced to the use of spreadsheets (Excel) in undertaking a cost-benefit analysis of a project. Basic Excel skills are assumed knowledge for this course.ﾠStudents are expected to apply CBA theory learnt during the course to anﾠadvancedﾠcase study as the final assessment in this course.
Course requirements
Assumed background
Proficiency in basic Excel spreadsheeting is highly recommended. Students are encouraged to review the Excel training resources provided by the library services found at:ﾠSoftware and training resources - Library - University of Queensland (uq.edu.au)
Microsoft Excel is required for this course. Students can access a free version of Office 365 here:ﾠOffice 365 for personal use - my.UQ - University of Queensland
Students are also expected to be familiar with various writing styles. Please refer to the following information provided by the library servicesﾠshould you have difficulties identifying the appropriate format:ﾠAssignment types - my.UQ - University of Queensland
Before enrolling in this course, you are advised that it is important to complete the prerequisite course(s) listed in this course profile. No responsibility will be accepted by UQ School of Economics, the Faculty of Business, Economics and Law or The University of Queensland for poor student performance occurring in courses where the appropriate prerequisite(s) has/have not been completed, for any reason whatsoever.
Prerequisites
You'll need to complete the following courses before enrolling in this one:
ECON2010 or 7000 or 7002 or 7010 or 7011
Incompatible
You can't enrol in this course if you've already completed the following:
ECON2101, ECON3220
Course contact
School enquiries
Student Enquiries, School of Economics
All enquiries regarding student and academic administration (i.e. non-course content information, e.g., class allocation, timetables, extension to assessment due date, etc.) should be directed to enquiries@economics.uq.edu.au.
Enquiries relating specifically to course content should be directed to the Course Coordinator/Lecturer.
Course staff
Course coordinator
Dr Suzanne Bonner
Tutor
Mr Spencer Tong
Ms Thi Thuy Dung Le
Timetable
The timetable for this course is available on the UQ Public Timetable.
Additional timetable information
Lectures will be delivered in person for Semester 2, 2024. Lectures will still be recorded. However, tutorials are not recorded for this course.
Students should refer to the timetable prior to the commencement of classes to ensure that they have the most up to date information.
Tutorial Preferencing:
Students are required to submit assessment either prior or during their allocated tutorial. All students must enrol in a tutorial to receive these marks.ﾠStudents are required to submit assessment either prior or during their allocated tutorial.ﾠ
Please refer to My Timetable (available via your my.UQ dashboard) for more information on the tutorial preferencing and allocation process.ﾠTutorials commence in Teaching Week 2.
The timetable is published through the UQ Public Timetable found in the APPs section of myUQ.ﾠStudents should refer to the timetable prior to the commencement of classes to ensure that they have the most up to date information, as from time to time late room changes may occur.ﾠThe timetable can be downloaded here:ﾠPublic Timetable.
Public Holidays:ﾠWedﾠ14 Augustﾠ- Royal Queensland Show (EKKA),ﾠMon 7ﾠOctoberﾠ- King's Birthday.
Mid-Semester Break:ﾠ23ﾠSeptemberﾠ- 27 September. Semester 2 classes recommence Monday 30 September.ﾠ
Aims and outcomes
This course provides students to engage in practical applications of cost benefit analysis. This course is intended to equipﾠstudents with advanced conceptual, analytical, and critical thinking skills to undertake a CBA.
Learning outcomes
After successfully completing this course you should be able to:
LO1.
Construct, interpret and evaluate CBA in a variety of real-world situations.
LO2.
Implement non-market valuation methods to correct market failures, including those of a social and/or intangible nature.
LO3.
Categorise and evaluate risk and uncertainty in decision-making within a CBA framework
LO4.
Deconstruct and analyse distributional impacts of a policy or project on relevant stakeholders.
LO5.
Critically examine ethical and social perspectives of decision-making and its role in CBA.
Assessment
Assessment summary
| Category | Assessment task | Weight | Due date |
|---|---|---|---|
| Tutorial/ Problem Set | Tutorial Exercises | 10% (best 8 of 10) |
submitted during allocated tutorial time. |
| Quiz | Online Quizzes | 30% (2 x 15%) |
Quiz 1 30/08/2024 5:00 pm Quiz 2 18/10/2024 5:00 pm |
| Presentation |
Pitch Deck Presentation
|
20% |
4/10/2024 3:00 pm |
| Project, Reflection | Individual Case Study in Applied Cost-Benefit Analysis | 40% |
4/11/2024 3:00 pm |
Assessment details
Tutorial Exercises
- Mode
- Written
- Category
- Tutorial/ Problem Set
- Weight
- 10% (best 8 of 10)
- Due date
submitted during allocated tutorial time.
Task description
Students will be required to submit solutions to computer-based exercises, case studies and short-answer questions as specified in Blackboard. Weekly tutorial sessions begin in week 2. Details on submission of tutorials can be found on the Blackboard website.
There will be 10 weekly tutorial session submissions for which you are expected to prepare and submit a set of fairly straight-forward Excel-based exercises in advance of each week's session. In each session a tutor will work through that week's exercise 'live' and, if time permits, cover a few other topics of relevance. Only the best 8 of the 10 tutorial submissions will count towards your overall results.
Students will receive up to 10% of the final mark through 'active participation' in these computer sessions. 'Active participation' requires students to submit their Excel exercises via the link on the course website.
This assessment task evaluates students' abilities, skills and knowledge without the aid of generative Artificial Intelligence (AI). Students are advised that the use of AI technologies to develop responses is strictly prohibited and may constitute student misconduct under the Student Code of Conduct.
Submission guidelines
Students can submit their attempt at the tutorial exercises either prior or during their enrolled tutorial. The deadline for each student is at the end of their enrolled tutorial. Note: the submission is not marked based on correct content. Students who submit prior to their tutorial should check the solutions when the solutions are released on Blackboard
Submissions via email are not accepted.
Deferral or extension
You cannot defer or apply for an extension for this assessment.
Note that only the best 8 of the 10 tutorial submissions will count towards your overall results. As the tutorial exercises form a series of continuous assessment, students are encouraged to submit all possible attempts throughout the semester.
Late submission
You will receive a mark of 0 if this assessment is submitted late.
No late submissions or extensions will be accepted. Submissions via email will not be accepted.
Online Quizzes
- Mode
- Activity/ Performance
- Category
- Quiz
- Weight
- 30% (2 x 15%)
- Due date
Quiz 1 30/08/2024 5:00 pm
Quiz 2 18/10/2024 5:00 pm
Task description
Students are required to complete two (2) online quizzes covering both numerical and theoretical applications of CBA at regular intervals throughout the course. There will be two quizzes worth 15% each (total of 30% for the course).
· Each quiz can contain multiple choice, short answer or numerical questions.
· Students will have 120 minutes to complete each online quiz.
· The quizzes will be conducted in weeks 6 and 12.
Submission of the quizzes is via the Blackboard website. Details on the content of each quiz will be provided on the Blackboard website.
Access to Excel is required for the online quizzes. If you are not using a university computer, please ensure you add the UQ blackboard website and downloads to your "Trust Centre". Otherwise you may have difficulties opening or downloading files.
This assessment task evaluates students' abilities, skills and knowledge without the aid of generative Artificial Intelligence (AI). Students are advised that the use of AI technologies to develop responses is strictly prohibited and may constitute student misconduct under the Student Code of Conduct.
Submission guidelines
To be submitted via Blackboard. See Blackboard for submission details.
Deferral or extension
You may be able to apply for an extension.
The online quizzes have a maximum extension of 3 days (including weekend days) to ensure timely feedback to other students. Extension applications must be received before the deadline, and you are required to email the course coordinator directly so they are aware of your application and can make arrangements for your extension within this timeframe. To apply for an extension, students must provide evidence (e.g., a medical certificate) that the late submission is beyond their control. The course coordinator will decide on the evidence presented whether a late submission will be accepted and whether penalty will be applied.
Late submission
You will receive a mark of 0 if this assessment is submitted late.
Pitch Deck Presentation
- Mode
- Oral
- Category
- Presentation
- Weight
- 20%
- Due date
4/10/2024 3:00 pm
- Other conditions
- Peer assessment factor.
Task description
Students will work in groups to complete a Pitch Deck Presentation centred around a topic provided in week 6. The topic will be introduced by an Industry Expert in lecture 6. Groups must be 3 - 4 students.
A strict deadline for the creation of groups will be posted on Blackboard - no changes are allowed after this date regardless of circumstances. Once the deadline passes any students who have not joined a group will be automatically allocated.
The submission will be a video recording. All students must show their student ID on the first slide. All students must show their face clearly in the recording when speaking.
Group (3-4 students) Each student must present for a minimum of 1.5 minutes as part of the assessment task. The MAXIMUM acceptable recording length for a group of 3 students is 9 minutes. A group of 4 students is 10 minutes. No more than 12 slides. A penalty will be applied for exceeding or falling short of these limits and requirements.
Buddycheck will be used as part of this assessment. See task sheet for details. A deadline for completion will be provided on BB.
Slides must be submitted the PowerPoint slides via TurnItIn through the Online Submission link under the Assessment section of the Course Blackboard site. The presentation recording must be submitted via the Blackboard Assignment submission tool. Only one student needs to submit on behalf of the group. Students are responsible for ensuring one student from the group submits presentation slides and recording.
Artificial Intelligence (AI) and Machine Translation (MT) provides emerging tools that may support students in completing this assessment task. Students may appropriately use AI and/or MT in completing this assessment task. Students must clearly reference any use of AI or MT in each instance.
A failure to reference generative AI or MT use may constitute student misconduct under the Student Code of Conduct.
Submission guidelines
Blackboard. Submissions via email are not accepted.
Deferral or extension
You cannot defer or apply for an extension for this assessment.
No Extensions are given for the Group presentation - as extensions for groupwork will impact the group submission.
Late submission
A penalty of 10% of the maximum possible mark will be deducted per 24 hours from time submission is due for up to 7 days. After 7 days, you will receive a mark of 0.
Penalties will be applied unless there is sufficient evidence that the late submission is beyond the control of the student. Course coordinators decide on the evidence presented whether they would accept a late submission.
Individual Case Study in Applied Cost-Benefit Analysis
- Mode
- Written
- Category
- Project, Reflection
- Weight
- 40%
- Due date
4/11/2024 3:00 pm
Task description
Students are required to complete a take-home case study assignment. Students will have two weeks to complete the assignment. The assignment will be released no later than 25th October.
The assignment will consist of a task worth 30% (spreadsheet and report) and a reflection worth 10% for a total of 40% of your final grade.
The assignment must be submitted electronically through the Online Submission link in the Assessment section of the Course Blackboard site.
Further details to be announced in Blackboard.
Artificial Intelligence (AI) and Machine Translation (MT) provides emerging tools that may support students in completing this assessment task. Students may appropriately use AI and/or MT in completing this assessment task. Students must clearly reference any use of AI or MT in each instance.
A failure to reference generative AI or MT use may constitute student misconduct under the Student Code of Conduct.
Submission guidelines
Blackboard. Submissions via email are not accepted.
Deferral or extension
You may be able to apply for an extension.
The maximum extension allowed is 14 days. Extensions are given in multiples of 24 hours.
Extensions may impact your ability to graduate in a given semester. While we give a maximum 14 days extension please be aware that if you wish to graduate on time your extension may be for a shorter duration to ensure your grade is processed.
Late submission
A penalty of 10% of the maximum possible mark will be deducted per 24 hours from time submission is due for up to 7 days. After 7 days, you will receive a mark of 0.
Penalties will be applied unless there is sufficient evidence that the late submission is beyond the control of the student. Course coordinators decide on the evidence presented whether they would accept a late submission.
Course grading
Full criteria for each grade is available in the Assessment Procedure.
| Grade | Cut off Percent | Description |
|---|---|---|
| 1 (Low Fail) | 0% - 29% |
Absence of evidence of achievement of course learning outcomes. |
| 2 (Fail) | 30% - 46% |
Minimal evidence of achievement of course learning outcomes. |
| 3 (Marginal Fail) | 47% - 49% |
Demonstrated evidence of developing achievement of course learning outcomes |
| 4 (Pass) | 50% - 64% |
Demonstrated evidence of functional achievement of course learning outcomes. |
| 5 (Credit) | 65% - 74% |
Demonstrated evidence of proficient achievement of course learning outcomes. |
| 6 (Distinction) | 75% - 84% |
Demonstrated evidence of advanced achievement of course learning outcomes. |
| 7 (High Distinction) | 85% - 100% |
Demonstrated evidence of exceptional achievement of course learning outcomes. |
Additional course grading information
A student’s final overall end of semester percentage mark will be rounded to determine their final grade. For example, 64.5% rounds to 65%, while 64.4% rounds to 64%.
ﾠ
Supplementary assessment
Supplementary assessment is available for this course.
The supplementary assessment for this course is in the form of an oral presentation/examination.
Additional assessment information
Plagiarism
The School of Economics is committed to reducing the incidence of plagiarism. Further information on plagiarism and how to avoid an allegation of plagiarism is available in this course profile under Policies & Guidelines. Please refer to the Academic Integrity Module (AIM). It is strongly recommended that you complete the AIM if you have not already done so.
Referencing and Citing
APA is the required referencing style in this course.
Assignments must be substantially your own work. If you wish to report another author’s point of view you should do so in your own words, and properly cite the reference in accordance with the school style. Direct quotations should be used sparingly, form a small part of your work, and must be placed in quotation marks and duly referenced.
Any material taken from texts and other references, including electronic resources, CD‐ROMS, and the Internet, must be acknowledged using the accepted School style.
Students are encouraged to discuss issues that arise in this course together. However, the written work you submit must be entirely your own. Similarly, you must not help another student to cheat by lending assignments (present or past).
For more information on referencing styles, visit the library or see https://guides.library.uq.edu.au/referencing
If you do not reference the materials used in your assignment correctly, you could be found guilty of academic misconduct. Please see this link for more information: https://my.uq.edu.au/information-and-services/manage-my-program/student-integrity-and-conduct/academic-integrity-and-student-conduct
For more information on assessment, please review the UQ Assessment Policy.
Learning resources
You'll need the following resources to successfully complete the course. We've indicated below if you need a personal copy of the reading materials or your own item.
Library resources
Find the required and recommended resources for this course on the UQ Library website.
Own copy required
You'll need to have your own copy of the following reading resources. We've indicated below if you need a personal copy of the reading materials or your own item.
| Item | Description |
|---|---|
| Book |
Social cost benefit analysis and economic evaluation
by Bonner; Suzanne - 2022 Publisher: University of Queensland ISBN: 9781742723709 |
Additional learning resources information
This course leverages off the free open access textbook found here: Social Cost Benefit Analysis and Economic Evaluation (pressbooks.pub)
Learning activities
The learning activities for this course are outlined below. Learn more about the learning outcomes that apply to this course.
Filter activity type by
Please select
| Learning period | Activity type | Topic |
|---|---|---|
Week 1 (22 Jul - 28 Jul) |
Lecture |
Introduction to Social Cost Benefit Analysis The purpose of CBA, net social benefit, economic principles. |
Multiple weeks From Week 2 To Week 13 |
Tutorial |
Tutorial Tutorials will run from week 2 - 13. During the tutorial students will utilise spreadsheets to conduct CBA, complete worked examples from the relevant textbooks and prepare case study exercises. |
Week 2 (29 Jul - 04 Aug) |
Lecture |
Discounting and Decision Rules The basics of discounting - time preferences, calculating NPV, IRR and BCR, dealing with multiple time periods. |
Week 3 (05 Aug - 11 Aug) |
Lecture |
Discounting and Decision Rules (cont) Challenges of comparing NPV, IRR and BCRs including mid year and beginning of year discounting, comparing projects different lives, other complications in CBA. |
Week 4 (12 Aug - 18 Aug) |
Lecture |
Standing and Perspective in CBA Identifying who's benefits and costs matter, applying Market perspective and Investor perspective to CBA. |
No student involvement (Breaks, information) |
Royal QLD Show - public holiday Students who normally attend tutorial on this day are advised to attend another session for this week only. |
|
Week 5 (19 Aug - 25 Aug) |
Lecture |
Predicting and Monetising Social Impacts 1 Kaldor-Hicks criterion, using markets to evaluate direct impacts of policies, evaluating impacts using consumer and producer surplus. |
Week 6 (26 Aug - 01 Sep) |
Lecture |
Predicting and Monetising Social Impacts 1 (cont) Predicting and monetising, benefit value transfers, when to use shadow prices, types of errors. |
Week 7 (02 Sep - 08 Sep) |
Lecture |
Social Perspective in CBA Shadow prices from distorted markets, implementing social CBA, evaluation of aggregate social CBA for decision making. |
Week 8 (09 Sep - 15 Sep) |
Lecture |
Disaggregated Social Cost Benefit Analysis Evaluation of standing, Identification of distributional costs and benefits. |
Week 9 (16 Sep - 22 Sep) |
Lecture |
Ethical and Social Issues in CBA Cost benefit analysis as operationalised utilitarianism. |
Mid Sem break (23 Sep - 29 Sep) |
No student involvement (Breaks, information) |
Mid Semester Break There will be no classes this week. |
Week 10 (30 Sep - 06 Oct) |
Lecture |
Dealing with Uncertainty and Sensitivity Analysis uncertainty and risk, expected value analysis, expected NPV, risk preferences, sensitivity analysis. |
Week 11 (07 Oct - 13 Oct) |
Lecture |
Predicting and Monetising Social Impacts 2 Total economic value, non-market goods and services in CBA, non-market valuation methods. |
No student involvement (Breaks, information) |
King's Birthday - public holiday Students who normally attend tutorial on this day are advised to attend another session for this week only. |
|
Week 12 (14 Oct - 20 Oct) |
Lecture |
Predicting and Monetising Social Impacts 2 (cont) Further case study applications/ Environmental effects and non-market valuation. |
Week 13 (21 Oct - 27 Oct) |
Lecture |
Guidelines to Preparing a CBA report How to present and interpret results of CBA for decision-support: guidelines for writing of case study reports. |
Policies and procedures
University policies and procedures apply to all aspects of student life. As a UQ student, you must comply with University-wide and program-specific requirements, including the:
- Student Code of Conduct Policy
- Student Integrity and Misconduct Policy and Procedure
- Assessment Procedure
- Examinations Procedure
- Reasonable Adjustments - Students Policy and Procedure
Learn more about UQ policies on my.UQ and the Policy and Procedure Library.