Answer :
Final answer:
Government leaders use cost-benefit analysis to make decisions by assessing the impact on society, verifying the analysis accuracy, and examining who benefits or is harmed in the process.
Explanation:
Cost-benefit analysis is a systematic process used by the government to determine whether to provide a specific public good and in what quantity. When making decisions using cost-benefit analysis, government leaders are likely to ask questions such as 'How will this decision affect people and society?' This focus helps them assess the overall impact on individuals and communities.
Additionally, leaders may consider 'Is the cost-benefit analysis accurate?' to ensure the reliability of the data driving their decision-making process. Examining the accuracy of the analysis is crucial in making informed choices that benefit society as a whole.
Moreover, understanding 'Who does this benefit? Who does it harm?' allows leaders to evaluate the distribution of costs and benefits across different segments of society, aiding in making equitable and well-informed decisions.
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