Declining Discount Rates: Evidence from the UK

Groom, Ben and Koundouri, Phoebe and Panopoulou, Ekaterini and Pantelidis, Theologos (2005): Declining Discount Rates: Evidence from the UK. Published in:

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.

• Item Type: MPRA Paper
• Language: English
• Keywords: long-run discounting, state-space models, regime-switching models, climate change policy, nuclear build
• Subjects: C - Mathematical and Quantitative Methods > C2 - Single Equation Models ; Single Variables > C26 - Instrumental Variables (IV) Estimation; C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models ; Multiple Variables; Y - Miscellaneous Categories > Y1 - Data: Tables and Charts > Y10 - Data: Tables and Charts

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