Economic Policy II 4.17.E.120
LECTURE
1 Introduction
2/3 Investments, investment undertaking, economic project - theoretical basis
4/5/6 Financing of economic projects
7/8/9 Simple/static methods of evaluating economic projects
10/11 Methods taking into account the time factor in the profitability of economic projects
12/13 The concept and types of risk. Risk sources. Methods of taking into account risk in the assessment of economic projects
14/15 Types of investment decisions
CLASSES
1 Introduction
2 Change in the value of money over time - capitalization, discounting
3 Estimating cash flows
4 Life cycle of an economic project - overview of the basic phases
5 The use of simple/static methods in the initial stage of evaluation of economic projects
6 Calculation of the payback period for expenditure on the implementation of the economic project
7 Updated net worth and internal rate of return - practical application in assessing the profitability of economic projects
8 Risk identification in business projects
Learning outcomes
KNOWLEDGE
1 The student has a basic theoretical knowledge of the evaluation of economic projects; knows the basic concepts and definitions related to the evaluation of economic projects; knows the procedure of keeping an economic efficiency account of economic projects
2 The student has knowledge of the methods and tools used in the assessment of the effectiveness of economic projects, can diagnose and formulate conclusions
SKILLS
1 The student is able to use the basic theoretical knowledge in the field of economic project evaluation methods, independently formulate and interpret conclusions giving the basis for making correct decisions
2 The student can make a practical selection of an investment project from among many variants according to the criteria used in business practice
Assessment criteria
multi-valued grading scale
LECTURE
writing exam
CLASSES
F1: project
F2: Student's activity during classes (activity; case study)
The final grade by F1 and F2
Bibliography
1. Dasgupta P., S. Marglin, A. Sen (1972), Guidelines for Project Evaluation, New York, UNIDO.
2. Drèze J., N. Stern (1987), ‘Theory of Cost-Benefit Analysis’ in A.J. Auerbach, M.S. Feldstein (eds.), Handbook of Public Economics, Vol. 2.
3. Ray A. (1984), Cost-Benefit Analysis: Issues and Methodologies, Baltimore, Johns Hopkins Press for the World Bank.
4. Articles and literature indicated by the teacher during the classes.
Additional information
Additional information (registration calendar, class conductors, localization and schedules of classes), might be available in the USOSweb system: