Sunday, January 11, 2009

WSJ on how not to do project evaluation

This WSJ piece purports to offer very high return "investments" that consist of minor changes in household behavior.

See if you can find the missing cost in each one of them that should exclude it from the list. Hint: value of time is a good place to start, but it is not the only thing missing.

I am surprised that this made it past the WSJ editors. They should send the author to a remedial economics course.

Hat tip: