Annual hospital visits fall from 30,000 to 15,000 after a pr…

Annual hospital visits fall from 30,000 to 15,000 after a program begins. Over the same period, visits fall by 6,000 in comparable untreated cities. A well-matched valuation study supports a shadow price of $4,000 per avoided visit. If the comparison-city trend is the appropriate counterfactual, which annual benefit estimate is best supported?

Projects A and B each cost $10 million at t = 0 and have the…

Projects A and B each cost $10 million at t = 0 and have the same NPV at a 3% discount rate. All of A’s benefits arrive at the end of year 25, while all of B’s benefits arrive at the end of year 5. If the discount rate rises, which project’s NPV has the larger decrease in dollar terms, holding the cash flows fixed?