Value of Statistical Life Environmental Economics Questions

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Economics

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Consider a project that will generate the following three benefits (with no other costs in intervening years): • $2M (M=million) in one year • $4M in 5 years, and • $6M in 10 years. Your discount rate is 3%. What is the present value of benefits (PVB)? (Please show your calculations and the final answer (round this single number to 1 decimal) for full credit.) Suppose hospitals are having to pay nurses working with Covid-19 patients an average of $75,000/year. Nurses on similar but less risky non-Covid units are paid an average of $70,000. The annual risk of death for Covid-19 nurses is 1x10-3 higher than on similar non-Covid units. What is the value of statistical life implied by this data? (Please show your calculations and the final answer for full credit.) A power company is considering building a new wind power facility that costs $25B (immediately) to build. Assume yearly benefits are constant, start one year from now and continue forever. From a present value perspective, how high do these yearly benefits need to be to justify the costs? Assume a discount rate of 5%. (Please show your calculations and the final answer for full credit.)
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hello, please find the answers attached

Pv = 2000000(1.03)−1 + 4000000(1.03)�...


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