Measurement and decision support

Cost-benefit analysis for businesses

A social cost-benefit analysis (MKBA) makes the wider value of business choices visible, beyond financial figures. The method identifies social, ecological and economic effects, values those effects where possible, and turns broader impact into a clear basis for decisions and investment.

Not all value appears on a balance sheet. A social cost-benefit analysis (MKBA) shows the costs and benefits of an initiative for people, environment and economy. Effects can be defined, compared and, where possible, valued with shadow prices and external costs.

Wider value in view

Effects

Social costs and benefits defined with a clear scope.

Evidence

Effects valued where possible with shadow prices and external costs.

Decision

A substantiated basis for choices and investments.

The approach

1Define the question, scope and alternatives.
2Identify social, environmental and economic effects.
3Value and compare the effects where possible.
4Translate conclusions into decision-ready evidence.

Further reading in the knowledge base

Key concepts behind wider value and fair pricing.

Related services

Transparency about sources and calculation models

New Economy calculates with transparent sources such as the GHG Protocol, GHGP databases, public emission factors, eco-cost analysis, Idemat, life-cycle assessment (LCA) data and shadow prices, including RIVM, CBS and public valuation datasets. Calculation logic, assumptions and public source references are disclosed where possible. Licensed source data, confidential client data and privacy-sensitive information are not republished.

From practice

Projects and insights

From practice

Recent work

Projects by New Economy are analyses and reports for companies, products, municipalities and provinces — grounded in LCA, CBA and CO₂ footprint.

All projects

Frequently asked questions

What is a social cost-benefit analysis (MKBA)?

A social cost-benefit analysis (MKBA) maps the wider effects of an initiative on people, environment and economy, and values those effects where possible.

Why use a cost-benefit analysis for businesses?

Many forms of value fall outside financial accounts. A social cost-benefit analysis (MKBA) makes that value visible and supports decisions and investments.

What is the difference from a financial business case?

A financial business case focuses on commercial costs and benefits. A social cost-benefit analysis (MKBA) adds societal effects, such as environmental and health impacts.

Which sources support the calculation?

Relevant sources can include the GHG Protocol, public emission factors, eco-cost analysis, Idemat, life-cycle assessment (LCA) data and RIVM, CBS and public valuation datasets.

Ready for substantiated value?

A social cost-benefit analysis (MKBA) makes the wider value of choices visible.

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