The document discusses cost-benefit analysis, which involves tallying all costs of a project or decision and subtracting that amount from total projected benefits to determine if the decision is worthwhile. It outlines the steps of a cost-benefit analysis: 1) establish a framework, 2) identify costs and benefits, 3) assign monetary values, and 4) compare total costs to total benefits. Advantages include providing an objective, data-driven approach and uncovering hidden factors, while limitations are difficulty predicting all variables and potential inaccuracy of long-term forecasts. In conclusion, cost-benefit analysis is one tool that can help assess economic decisions but should not be the sole method used.