Which of the following would be considered in a cost-benefit analysis to decide if a person should cycle to work or ride the subway?
(i) The air pollution that the cyclist has to breathe.
(ii) The cost of subway tickets.
(iii) The time it takes to cycle to work versus the time it takes to ride the subway to work.
(iv) The cost per gallon of gasoline.
A)(i), (iii) and (iv)
B)(i), (ii), (iii) and (iv)
C)(i), (ii), and (iv)
D)(i), (ii) and (iii)

Question

Quizplus · Accepted Answer

A cost-benefit analysis would consider the costs and benefits of each option. The options in this case are cycling to work or riding the subway. The factors that would be considered in this analysis would be the benefits and costs associated with each option. The benefits of cycling to work would include exercise, saving money on transportation costs, and reducing air pollution. The costs of cycling to work would include the time it takes to cycle and exposure to air pollution. The benefits of riding the subway would include saving time and not being exposed to air pollution. The costs of riding the subway would include the cost of tickets. Therefore, the factors that would be considered in a cost-benefit analysis would be (i) the air pollution that the cyclist has to breathe, (ii) the cost of subway tickets, and (iii) the time it takes to cycle to work versus the time it takes to ride the subway to work. The cost per gallon of gasoline would not be a factor in this analysis since neither option involves the use of a car. Option D is the only choice that includes all three factors that would be considered in this analysis.

Which of the Following Would Be Considered in a Cost-Benefit