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This book has been designed specifically with the non-economist in mind - for example, students in public administration, urban studies and health care - who may have little or no preparation in economics. It includes recent developments in the theoretical and empirical cost-benefit analysis (CBA) literature beginning with a detailed discussion of welfare economics and the microeconomic foundations of CBA. It gives comprehensive treatment to CBA methodology and concludes with the current state of CBA as it is practised by public and international agencies, with applications in areas of health care and the environment.