Engineering economics: It involves formulating, estimating, and evaluating the economic outcomes and economic status when alternatives to accomplish a defined purpose are available. Some other topics that may be addressed in engineering economics are Value Engineering, Cost Engineering update, Tax Credits, and Investment Engineering.
Engineering economics is the application of economic techniques to the evaluation of design and engineering alternatives. The role of engineering economics is to assess the appropriateness of a given project, estimate its value, and justify it from an engineering standpoint. It is important to all fields of engineering because no matter how technically sound an engineering project is, It will fail if it is not economically feasible. Engineering economic analysis is often applied to various possible designs for an engineering project in order to choose the optimum design, thereby taking into account both technical and economic feasibility.
- Value Engineering
- Cost Engineering
- Tax Credits and Accounting
- Replacement and Maintenance analysis
- Financial/Investment Engineering