La Tasa de Descuento Revisitada
The choice of an appropriate discount rate is of major importance in cost benefit analysis both, at the private and at the social levels. The theories that rationalize the NPV criterion also identify the appropriate rate. However, the question remains as to what should be done when the environment where the project is under appraisal does not accommodate well to the one described by the theory. This essay puts forward the idea that generally speaking, when there is no obvious rate to pick the NPV criterion lacks normative value.
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| Length: | |
| Date of creation: | 2004 |
| Publication status: | Published as "Un Examen a la Tasa de Descuento", El Trimestre Económico, Vol. LXXII (2), Nº 286, abril-junio de 2005, pp. 257-281. |
| Handle: | RePEc:ioe:doctra:261 |
| Contact details of provider: | Postal: Avda. Vicuña Mackenna 4860, Macul, Santiago Phone: (562) 354-4303 Fax: (562) 553-1664 Web page: http://www.economia.uc.cl Email: More information through EDIRC
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References listed on IDEAS
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- Adler, Matthew D & Posner, Eric A, 2000. "Implementing Cost-Benefit Analysis When Preferences Are Distorted," The Journal of Legal Studies, University of Chicago Press, vol. 29(2), pages 1105-1147, June.
- John C. Harsanyi, 1955. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparisons of Utility," Journal of Political Economy, University of Chicago Press, vol. 63, pages 309-309. Full references (including those not matched with items on IDEAS)
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