Social Impact Investing

development projects. An economic impact analysis may also be performed to help calculate
the benefits as part of a cost-benefit analysis.
Applications
Economic impact analyses are used frequently in transportation planning. Common tools for this
application include the Transportation Economic Development Impact System (TREDIS) and
TranSight. Several transportation agencies, including the Transportation Research Board and
US Department of Transportation, publish guides, standards, and techniques for utilizing
economic impact analyses in transportation planning projects.
Economic impact analyses are often used to examine the consequences of economic
development projects and efforts, such as real estate development, business openings and
closures, and site selection projects. The analyses can also help increase community support
for these projects, as well as help obtain grants and tax incentives.
An economic impact analysis is commonly developed in conjunction with proposed legislation or
regulatory changes, in order to fully understand the impact of government action on the
economy. The United States Department of Energy economic impact model is one example of
this type of application. Many times the economic impact analysis is developed by the party
advocating for the legislative or regulatory change, to communicate the merits of the proposed
action. It can be useful with lobbying, media relations, and community outreach efforts.
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