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Declining Discount Rates: Evidence from the UK

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Author Info
Ekaterini Panopoulou () (Department of Banking and Financial Management, University of Piraeus and Department of Economics, Finance and Accounting, Maynooth)
B. Groom (Department of Economics, Finance and Accounting, University College London, UK.)
P. Koundouri (Department of Economics, Finance and Accounting, University of Reading, UK and Department of Economics, Finance and Accounting, UCL, UK)
Theologos Pantelidis (Department of Banking and Financial Management, University of Piraeus, Greece.)

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Abstract

We estimate schedules of declining discount rates for cost benefit analysis in the UK. We highlight the importance of model selection for this task and hence for the evaluation of long-term investments, namely climate change prevention and nuclear build.

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Publisher Info
Paper provided by Department of Economics, Finance and Accounting, National University of Ireland - Maynooth in its series Economics, Finance and Accounting Department Working Paper Series with number n1470105.

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Length: 7 pages
Date of creation: Jan 2005
Date of revision:
Handle: RePEc:may:mayecw:n1470105

Contact details of provider:
Postal: Maynooth, Co. Kildare
Phone: 353-1-7083728
Fax: 353-1-7083934
Web page: http://www.may.ie/academic/economics/
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Related research
Keywords: long-run discounting; state-space models; regime-switching models; climate change policy; nuclear build;

Find related papers by JEL classification:
C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Estimation
C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Other Model Applications
Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Gollier, Christian, 2002. "Time Horizon and the Discount Rate," Journal of Economic Theory, Elsevier, vol. 107(2), pages 463-473, December. [Downloadable!] (restricted)
  2. David Pearce & Ben Groom & Cameron Hepburn & Phoebe Koundouri, 2003. "Valuing the Future," World Economics, World Economics, Economic & Financial Publishing, PO Box 69, Henley-on-Thames, Oxfordshire, United Kingdom, RG9 1GB, vol. 4(2), pages 121-141, April. [Downloadable!]
  3. Gollier, Christian, 2002. "Discounting an uncertain future," Journal of Public Economics, Elsevier, vol. 85(2), pages 149-166, August. [Downloadable!] (restricted)
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This page was last updated on 2009-11-25.


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