Proposal 1: an HIV education campaign that will cost the city $5 million next year and...

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Proposal 1: an HIV education campaign that will cost the city $5 million next year and $5 million in two years, and is projected to save 20 lives next year and 20 lives in two years. Proposal 2: an opioid recovery program that will cost the city $5 million per year for the next three years, and is projected to save 20 lives next year, 15 lives in two years, and 10 lives in three years. Suppose each life is valued at $5 million and the discount rate is 8%. a) Conduct a cost-benefit analysis of each proposal. b) Which proposal generates the most social surplus? Explain your answers and show your work! Paragraph V AQ = or "O Proposal 1: an HIV education campaign that will cost the city $5 million next year and $5 million in two years, and is projected to save 20 lives next year and 20 lives in two years. Proposal 2: an opioid recovery program that will cost the city $5 million per year for the next three years, and is projected to save 20 lives next year, 15 lives in two years, and 10 lives in three years. Suppose each life is valued at $5 million and the discount rate is 8%. a) Conduct a cost-benefit analysis of each proposal. b) Which proposal generates the most social surplus? Explain your answers and show your work! Paragraph V AQ = or "O

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a To conduct a costbenefit analysis of each proposal we need to calculate the present value of the c... View the full answer