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Full Description
Purposeful Engineering Economics stands as a unique and highly original complement to the traditional engineering economics curriculum. This primarily narrative text conveys the essence of an "Austrian" economic perspective on cash flow analysis and decision making in engineering without extensive tables and graphs and requires very little mathematics. The book's objective is to add a new perspective to the usual study of cash flow analysis and solely econometric engineering decision making. The author draws on the methodology of the Austrian Economists—a school of economic thought that bases its study of economic phenomena on the interpretation and analysis of the purposeful actions of individuals. The book includes an array of illustrative case studies examined in detail by the author and emphasizes the importance of market processes and price signals to coordinate engineering plans.
Contents
Introduction.- The First Class: Subjective Value and Time Preference.- A Few Basic Concepts: Setting the Stage.- Price and Cost.- Equivalence.- Inflation.- Information: Interfering with Price Signals.- Public Projects (Benefit/Cost Analysis).- Effects of Taxation on Cash Flows.- An Example "Retirement" Planning Calculation.- Costs of Regulation.- Sustainability Concerns.- Appendix A: Elements of Austrian Economic Theory.- Appendix B: Example Learning Objectives.
