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Economic calculation and democracy

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Author Info
Yves CROZET ()
Abstract

Economic calculation, and especially cost benefit analysis (Coba), is more and more criticised and accused to be technocratic and partial, leading to a narrow view of projects. An example of this loss of credibility is the New Approach To Appraisal (NATA), implemented in Great Britain at the end of the 90': a multicriteria analysis where Coba gives only one information among many others, quantitative and qualitative. Nevertheless we don't think that we are facing an unavoidable decline of economic calculation. This paper emphasises the important role that Coba can keep within the public decision process. If we remember Keyne's and Schumpeter's points of view about the roles of forecasting and prices, economic calculation could be useful to help the emergence of collective choices, even in the controversial field of transport infrastructures.

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Publisher Info
Article provided by Centre national de la recherche scientifique (CNRS), Paris in its journal Cahiers d'économie Politique.

Volume (Year): (2004)
Issue (Month): 47 ()
Pages: 155-172
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Handle: RePEc:cpo:journl:y:2004:i:47:p:155-172

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Find related papers by JEL classification:
H43 - Public Economics - - Publicly Provided Goods - - - Project Evaluation; Social Discount Rate
H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
R14 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Land Use Patterns
R42 - Urban, Rural, and Regional Economics - - Transportation Systems - - - Government and Private Investment Analysis

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This page was last updated on 2009-12-2.

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