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ECONOMIC IMPACT ANALYSIS OF A NEW MUSEUM PV of Year 1 Each year $ Flows Construction costs Museum Employment 25,000,000 75 $ 40,000 100,000 average earnings Museum supplies paid to suppliers Museum utility costs For each dollar of wages $50,000 food clothing recreation household goods transportation 0.25 0.10 0.05 0.10 0.20 Assume: > In each year, the monetary flows from museum activity are the same (no inflation) > The appropriate social discount rate is 2%. Find: 1. The present value of the perpetuities for each type of financial flow. 2. The dollar amount each type of impact Direct impact: Indirect impact: Induced impact: yes/no 3. Are the benefits worth the cost? vihats the tytal

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