Suppose that policymakers are doing cost-benefit analysis on a proposal to add traffic barriers to divide the flow of traffic in an effort to increase safety on a given highway.Which of the following statements is correct?
A) The benefits are usually easier to measure than the costs.
B) Because human life is priceless, any measure to increase traffic safety would generate benefits that outweigh the costs.
C) Estimating the value of a human life is difficult but necessary in order to evaluate the proposal.
D) Both a and b are correct.

Question

Quizplus · Accepted Answer

Estimating the value of a human life is necessary in order to evaluate the proposal, as it is important to assess whether the benefits of added safety outweigh the costs involved. However, this is a difficult task and there is no clear consensus on how to accurately determine the value of a human life. Therefore, policymakers may need to rely on estimates and assumptions, which can impact the overall analysis. Options A and B are incorrect as neither benefits nor human life can be considered as "easier" or "priceless" respectively, and option D is incorrect as statement A is inaccurate.

Suppose That Policymakers Are Doing Cost-Benefit Analysis on a Proposal