The Economic Evaluation of Megaprojects

Megaprojects play a foremost role not only in developed countries, but also and mainly in developing countries in several respects. As correctly stated by van Wee and Tavasszy (2008), first, they are heavily under debate at the political level because of their economic impacts and important budget implications. Second, there is a lively debate also among scholars and practitioners owing to the huge cost escalation and schedule delay of these projects (Flyvbjerg et al., 2003; Odeck, 2004), but also due to the uncertainty of their wider economic effects (namely due to the externalities connected to them).