If a project with a high ex-ante ERR experiences slight cost overruns due to implementation delays but

Question:

If a project with a high ex-ante ERR experiences slight cost overruns due to implementation delays but a rapid take up of the service after the construction, at a level which is well beyond the forecasted demand, how would you expect the ex-post ERR, ceteris paribus? And what if, to accommodate the increased demand, additional unforeseen capital investments are necessary on top of those originally planned?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question

Applied Welfare Economics

ISBN: 978-1032022185

2nd Edition

Authors: Massimo Florio ,chiara Pancotti

Question Posted: