What does an impact assessment evaluate in community economic development?

An impact assessment focuses on evaluating the changes resulting from a development initiative, which encompasses both the intended and unintended outcomes of a project. This type of assessment helps stakeholders understand the effectiveness of the initiative in achieving its goals, such as improving economic conditions, enhancing community well-being, or fostering sustainable practices. By measuring these changes, community economic development practitioners can determine the success of their interventions, inform future decision-making, and make necessary adjustments to ongoing or future projects.

The other options do not capture the primary focus of impact assessments in community economic development. While understanding the popularity of initiatives, financial backing, or efficiency in funding allocation might provide useful insights, these aspects do not directly measure the actual changes that occur within the community as a result of the development initiatives. The core purpose of an impact assessment is to assess those tangible and intangible effects, thus clearly illustrating the significance of option C.