Ανάλυση κόστους οφέλους στον ιδιωτικό και τον δημόσιο τομέα : το παράδειγμα του Δήμου Δίου – Ολύμπου με τον υπολογισμό του μέσου σταθμικού κόστους κεφαλαίου και του κοινωνικού επιτοκίου προεξόφλησης
Cost – benefit analysis in the private and public sector : the case of the Municipality of Dion – Olympus, with the calculation of its WACC and social discount rate
Μακρίδης, Παρασκευάς Δ.
SubjectΔημόσιος τομέας -- Ελλάδα ; Οργανισμοί Τοπικής Αυτοδιοίκησης ; Επενδύσεις ; Χρηματοοικονομική ανάλυση
The present paper combines the typical literature of Cost – Benefit Analyses and the case study of the Municipality of Dion – Olympus. Having the obstacles that the public sector faces during the process of decision making and particularly in the local government level, as a starting point, it is attempted to highlight the importance of Cost-Benefit Analyses. The key elements of Cost Benefit Analysis are presented individually for both the private and the public sector, focusing on the factors that determining and reveal the costs and the benefits that are expected by the project to be undertaken. Furthermore it is attempted to present the methodology followed for the necessary calculations and the criteria that should be taken under consideration during the project evaluation (Net Present Value, Internal Rate of Return). Accordingly, the importance of discounting cash flows and discount rates are thoroughly analysed in addition to the methodology of their calculation under the public sector aspect. The fourth chapter is dedicated to the Capital and its cost while it is attempted to individually explain its components and its use as a discount rate during project evaluations. The above mentioned theoretical part is followed by a detailed report on the economic and financial status of the Municipality of Dion-Olympus, while its entities are included, based on real data extracted from the municipality’s financial reports and balance sheets for the period from 2011 until 2014. The use of selected financial ratios is also included as part of the evaluation. Based on the financial and economic data presented, follows a primordial calculation of the Weighted Average Cost of Capital, under modifications, given the absence of taxation for local governments such as the municipality of Dion-Olympus. The analysis continues with the calculation of the Social Discount Rate under the Time Preference method, with the use of population and economic data related to the specific area (mortality, per capita GDP of the region). In conclusion, it is underlined that the present thesis aimed to conduct primordial calculations of those basic tools in order to be included and taken under consideration with the best possible way by the administration of the Municipality of Dion – Olympus.