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Generated User Benefits and the Heathrow Expansion: Understanding Consumer Surplus
This report by the Stockholm Environment Institute critiques the UK Department for Transport's (DfT) cost-benefit analysis regarding the expansion of Heathrow Airport. The authors argue that the DfT's projection of positive net benefits relies heavily on 'generated user benefits'—a theoretical construct of consumer surplus—which they claim is based on speculative and biased assumptions about future airfares, fuel costs, and passenger demand.
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Document type: Report
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