A Chinese owned car manufacturing company is considering building a new factory in Blacktown (Western Sydney) to produce a new electric car model. The production process will be largely conducted by robots and so new employment opportunities in the factory will be limited. It is expected that 50 highly-skilled jobs in computing, electronics and management will be created and a further 150 unskilled positions will need to be filled. The area in which the factory will be located has high levels of youth unemployment.

a) If you were a government analyst undertaking a BCA of this project outline how would you evaluate the costs of the labour that the factory might employ?

b) What would the major benefits of this project be for Australian society? Carefully explain your answer making sure to detail any assumptions you have made.

LOOKING FOR DIRECTION, NOT AN ANSWER