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Which of the Following Is True of Benefit-Cost Analysis

Question 27

Multiple Choice

Which of the following is true of benefit-cost analysis?


A) It eliminates projects whose costs and benefits stretch into the distant future.
B) Its main focus is to equalize the distribution of costs and benefits across society.
C) Because it excludes the use of market prices, it is necessarily is inefficient.
D) Its methodology is designed to help the government to maximize its profit from public projects.
E) It identifies and values a project's many impacts on all affected members of society.

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