Chapter 23 - Assignment 2: The Economic and Accounting Costs of Electric Power Generation
Chapter 23 - Assignment 2: The Economic and Accounting Costs of Electric Power Generation
Read: "
A Review of the Economic Cost of Power in Ontario," prepared by David Argue Consulting for the Independent
Power Producers' Society of Ontario.
- In this report, the author(s) note that "there are many ways to analyze the cost of power..."
In general, what are the major differences between accounting costs and
economic costs?
- In the section entitled "Accounting, Market and Economic Costs," the author(s) claim that
the accounting costs associated with the production of power by Ontario Hydro understate economic
costs. What reasons do they give for the difference between accounting and economic costs?
- Would the results be different if nuclear plants were used for 40 years instead of 20?
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