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09 March, 2022

What is social cost benefit analysis

 It refers to the study of feasibility of a project in terms of its total economic cost and total economic benefits.

it means to compare total cost wiit total benefit if we add external cost with private cost, its called total social cost if we add external benefit with private benefit, called total social benefit.

It helps in decision-making

It helps in deciding whether a particular project should go ahead or not.

It helps in comparing different projects

SCBA aids in evaluating individual projects within the planning framework which spells out national economic objectives and broad allocation of resources to various sectors.