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Social discount rates for six major countries

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Author Info
David J. Evans
Haluk Sezer
Abstract

Social discount rates are estimated for six major economies: Australia, France, Germany, Japan, the UK and the USA. A common methodology based on social time preference is employed and the information required is taken from the same OECD database. The main policy implications of applying consistently measured discount rates in the context of social project appraisal are then discussed. This is an important matter because, up to now, these countries have set their official discount rates using strikingly different methods and such disparities may have resulted in inconsistent decision-making in relation to the allocation of funds to long-term social projects.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Applied Economics Letters.

Volume (Year): 11 (2004)
Issue (Month): 9 (January)
Pages: 557-560
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Handle: RePEc:taf:apeclt:v:11:y:2004:i:9:p:557-560

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  1. Neal Blue, E. & Tweeten, Luther, 1997. "The estimation of marginal utility of income for application to agricultural policy analysis," Agricultural Economics, Blackwell, vol. 16(3), pages 155-169, August. [Downloadable!] (restricted)
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  1. Erhun KULA, 2006. "The social discount rate in cost benefit analysis: the British experience and lessons to be learned," Departemental Working Papers 2006-19, Department of Economics University of Milan Italy. [Downloadable!]
  2. Martin Debus & Jochen Michaelis, 2006. "Ausbildung, Erwerbsphase, Renteneintritt - demografischer Wandel und optimale Zeitallokation im Lebenszyklus," Discussion Papers in Economics 79/06, University of Kassel, Institute of Economics. [Downloadable!]
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  3. David Anthoff & Richard S. J. Tol & Gary W. Yohe, 2008. "Risk Aversion, Time Preference, and the Social Cost of Carbon," Papers WP252, Economic and Social Research Institute (ESRI). [Downloadable!]
  4. Lopez, Humberto, 2008. "The social discount rate : estimates for nine Latin American countries," Policy Research Working Paper Series 4639, The World Bank. [Downloadable!]
  5. Alfred Endres & Regina Bertram & Bianca Rundshagen, 2007. "Environmental Liability Law and Induced Technical Change – The Role of Discounting," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 36(3), pages 341-366, March. [Downloadable!] (restricted)
  6. David J. EVANS, 2006. "Social discount rates for the European Union," Departemental Working Papers 2006-20, Department of Economics University of Milan Italy. [Downloadable!]
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