Course detail

Public Structural Investments

FAST-NVA070Acad. year: 2022/2023

The main focus of the course is the methodical suggestion of possibilities of elaboration of the feasibility study for public orders. Feasibility study is set into wider social frame, it leans on the development strategy of towns, town planning schemes, labour market etc. Then it leans on possibilities to obtain investment funds from native or foreign sources (the EU) – structural funds and evaluation of the efficiency of the public investment, achievement of its technical and economical parameters and fulfilling assigned objectives, regarding the specific features of towns’ economy.

Language of instruction

Czech

Number of ECTS credits

4

Mode of study

Not applicable.

Guarantor

doc. Ing. Vít Hromádka, Ph.D.

Department

Institute of Structural Economics and Management (EKR)

Learning outcomes of the course unit

Knowledge about creation of feasibility study and eCBA public structure project.

Prerequisites

Knowledge of business plan processing in private sector.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

Not applicable.

Assesment methods and criteria linked to learning outcomes

Not applicable.

Course curriculum

1. Public and private sector (Pareto’s optimum, view of the efficiency)
2. Economic terms used in public projects (benefit, incomes, revenues, costs, expenditures, efficiency)
3. Basic methods of economic evaluation of public projects
4.–5. Cost-benefit analysis (CBA)
6. Time value of money, indexes of economic efficiency (NPV, IRR, FRR, ERR, B/C, …)
7. Risks and uncertainties (inflation expecting, states of the world)
8. Analysis of the sensitivity and probability
9. Financial resources for the public financing (domestic – public budgets, foreign – funding foreign resources, institutions)
10. Public orders submission – Act No. 137/2006 Coll., on Public Contracts
11.–12. Public business competition
13. Public orders evaluation. Choice of the best order (supply price, economic suitability)

Work placements

Not applicable.

Aims

Goal of this subject is to give enough information for independent work on feasibility study for project financed by public sources.

Specification of controlled education, way of implementation and compensation for absences

Extent and forms are specified by guarantor’s regulation updated for every academic year.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

Dufek, Z. a kol. Veřejné stavební investice. Praha: Leges, 2018 (CS)
Korytárová, J., Hromádka, V. Veřejné investice I. Brno, VUT FAST Brno, 2022 (CS)
Sartori, D. and coll. Guide to Cost-Benefit Analysis of Investment Projects. European Commission, 2014 (EN)

Recommended reading

Not applicable.

Classification of course in study plans

  • Programme NPC-ARS Master's

    specialization ARA , 2 year of study, winter semester, compulsory
    specialization ARP , 2 year of study, winter semester, compulsory

Type of course unit

 

Lecture

26 hod., optionally

Teacher / Lecturer

doc. Ing. Vít Hromádka, Ph.D.

Syllabus

1. Public and private sector (Pareto’s optimum, view of the efficiency)

2. Economic terms used in public projects (benefit, incomes, revenues, costs, expenditures, efficiency)

3. Basic methods of economic evaluation of public projects

4.–5. Cost-benefit analysis (CBA)

6. Time value of money, indexes of economic efficiency (NPV, IRR, FRR, ERR, B/C, …)

7. Risks and uncertainties (inflation expecting, states of the world)

8. Analysis of the sensitivity and probability

9. Financial resources for the public financing (domestic – public budgets, foreign – funding foreign resources, institutions)

10. Public orders submission – Act on Public Contracts

11.–12. Public business competition 13. Public orders evaluation. Choice of the best order (supply price, economic suitability)

Exercise

26 hod., compulsory

Teacher / Lecturer

Ing. Svatopluk Pelčák

Syllabus

1. Assessment of the cost-effectiveness of projects.

2. SWOT analysis - Case Study.

3. Analysis of problems and solutions.

4. Logical Framework - Case study. Determination of connection hypotheses. Entering the project.

5. Individual project work - Logical Framework.

6. Presentation of results.

7. Cost methods of project evaluation - Case Study.

8. CBA analysis. Cost-effectiveness of the project. Individual work.

9. CBA analysis. The economic efficiency of the project. Individual work.

10. – 11. CBA analysis. The sensitivity analysis. Individual work.

12. Presentation of results.

13. Credit.