Shared settings
Year 0 is not discounted. Transfers are shown separately and excluded from net social value because a transfer changes who holds resources, not necessarily total social resources.
Comparison
Discounted audit trail
| Year | A PV cost | A PV benefit | A transfer | B PV cost | B PV benefit | B transfer |
|---|
Distribution and effects register
Actions
Method, evidence and originality
This original educational model applies standard present-value arithmetic: PV = value ÷ (1 + r)t; NPV = PV benefits − PV resource costs; BCR = PV benefits ÷ PV resource costs. A BCR is suppressed when discounted resource cost is zero. The switching value is the extra social value required for the lower-NPV option to tie the higher-NPV option.
Method references: Boardman et al., Cost–Benefit Analysis (2018); HM Treasury, The Green Book 2026; CDC Cost-Benefit Analysis; WHO guide for economic evaluation of multisectoral action for health. The interface, wording, logic and synthetic example were created from a blank file for HealthEconomics.wiki.