Question: 1. Explain what evaluative criteria are in general and how they are used.
2. When is cost-benefit analysis used? How is it done? How is cost-effectiveness analysis different?
3. Define opportunity cost, discount rate, and contingent valuation methods (all related to cost- benefit analysis).
4. How do analysts evaluate risks or potential impact of policy proposals?
5. Explain how forecasting and projections are used in policy analysis.