Our work is based on sound economic theory, established research methods and tools.
We use the input-output methodology to estimate the effects of demand shocks, to evaluate the economic footprint of an industry or business, or to estimate the impact of changed efficiency in a single industry on the competitiveness of the economy.
We make use of a range of modelling tools and approaches, including CGE models (i.e. computable general equilibrium) and a power market model for northern Europe.
We use state-of-the art benchmarking techniques to assess performance efficiency e.g. cost efficiency among companies or branches that deliver similar services but under different framework conditions. This enables us to make different units comparable and thereby identify the best performers to learn from. State-of-the art benchmarking techniques are data envelopment analysis (DEA) and stochastic frontier analysis (SFA).
Economic Policy assessment
We use cost benefit analysis to assess the attractiveness of a given policy or project based on a standardised approach to valuating benefits and costs. This approach includes determining whether a project is worth implementing, comparing alternative designs of the project; and prioritizing projects competing for the same funds.
Behavioural Economics and Nudging
We are one of the few economic consultancies in the Nordics who use behavioural economics and nudging. We use the latest insights and methods from behavioural and experimental economics to conduct real-life experiments which unveil the effect of specific regulatory aspects.
Cost of Capital / WACC
WACC is commonly used in practice as a discount rate in valuation models based on present value calculations. The WACC is beneficial as a discount rate as it accurately models the cost of capital for capital structures that contain mixes of debt and equity.
Copenhagen Economics is one of the leading economics firms in Europe. Founded in 2000, we currently employ more than 85 staff operating from our offices in Copenhagen, Stockholm, Helsinki, and Brussels. The Global Competition Review (GCR) lists Copenhagen Economics among the Top-20 economic consultancies in the world, and has done so since 2006.Learn more about our services