An application of cost benefit analysis to the improvement of national primary route network.

Alternative proposals which emerged from a Road Needs Study are examined and compared as to costs and benefits. The benefits examined relate to time, accident and vehicle costs of travel under different levels of service on the network. The theoretical issues involved are examined and commented on. The internal rate of return on each level of service over the period 1995/2010 is estimated. Finally the sensitivity of the internal rates of return to different values for the costs and the benefits is examined.