Firefighter Health and Safety Practice

What is the initial step in a cost-benefit analysis?

1. Estimate future costs

2. Highlight potential benefits

3. Describe the current cost of the risk without intervention

4. Gather data on previous incidents

The correct answer is: Describe the current cost of the risk without intervention

The initial step in a cost-benefit analysis is to describe the current cost of the risk without intervention. This foundational step is crucial because it establishes a baseline understanding of the financial implications of a given risk if no action is taken. By quantifying the existing costs related to hazards, injuries, or any potential losses, practitioners can effectively frame the context for evaluating the worth of proposed measures aimed at risk mitigation. Identifying the current costs provides insights into why intervention is necessary and sets the stage for considering future costs or potential benefits. It allows decision-makers to contrast the costs associated with inaction against the projected costs and benefits of implementing new safety measures or interventions. This approach ensures that when weighing the options, all parties involved have a clear understanding of the financial stakes involved in addressing or ignoring specific risks.