1. An analysis approach that considers the relationship of a proposed policy to social objectives is called ... 1) Contingent valuation 2) Cost-effectiveness analysis 3) Hedonic pricing 4) Positional analysis 5) Risk aversion
2. Which one of the following statements is true? 1) Cost-benefit analysis can give an accurate measure of all costs and benefits 2) Cost-effectiveness analysis is always preferred to cost-benefit analysis 3) Some costs and benefits will not be quantifiable in many cost-benefit analyses 4) Policymakers should never use cost-benefit analysis due to its analytical weaknesses 5) Cost-effectiveness analysis relies on economic techniques to determine policy objectives