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Possibilities for Using the Effects Method in Mining Projects Assessment

Author

Listed:
  • Sorin-Iuliu Mangu

    (University of Petrosani, Romania)

  • Ilie Răscolean

    (University of Petrosani, Romania)

Abstract

Some distinctive essential aspects, characterizing most mining projects - the high level of investment effort, the major impact upon turning to good account of a significant part of the national wealth (the useful mineral deposits), the extremely limited character of the state’s available resources (the only one to finance such projects) - have transferred the problem of their financial evaluation from a microeconomic level to a macroeconomic one. A macroeconomic assessment supposes an identification and quantification of all effects taken by two fundamental alternatives - “with” or “without” a project, at a social and economical scale. On this assertion there could be determined the added value corresponding to each way, the alternative having the highest added value will be considered feasible.

Suggested Citation

  • Sorin-Iuliu Mangu & Ilie Răscolean, 2013. "Possibilities for Using the Effects Method in Mining Projects Assessment," Annals of the University of Petrosani, Economics, University of Petrosani, Romania, vol. 13(1), pages 165-172.
    • Handle: RePEc:pet:annals:v:13:y:2013:i:1:p:165-172
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    More about this item

    Keywords

    mining projects; macroeconomic assessment; effects method;
    All these keywords.

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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