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Uncertainty and risk

In: Teaching Benefit-Cost Analysis

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  • Nicolas Treich

Abstract

Uncertainty is prevalent in policymaking, and is thus an important dimension of policy evaluation and BCA. This chapter introduces the methods and practices to take uncertainty into account in BCA. The pedagogical approach consists in building on the contrast between two related concepts, such as risk versus uncertainty, static versus sequential analysis or ex ante versus ex post BCA.

Suggested Citation

  • Nicolas Treich, 2018. "Uncertainty and risk," Chapters, in: Scott Farrow (ed.), Teaching Benefit-Cost Analysis, chapter 11, pages 133-139, Edward Elgar Publishing.
  • Handle: RePEc:elg:eechap:17562_11
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    Keywords

    Economics and Finance; Teaching Methods;

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