The Economics of Discounting in an Uncertain World
E-Book, Englisch, 248 Seiten, EPUB
ISBN: 978-1-4008-4540-8
Verlag: De Gruyter
Format: EPUB
Kopierschutz: Adobe DRM (»Systemvoraussetzungen)
A key element of analysis by economists is the discount rate--the minimum rate of return required from an investment project to make it desirable to implement. Christian Gollier outlines the basic theory of the discount rate and the various arguments that favor using a smaller discount rate for more distant cash flows.
With principles that can be applied to many policy areas, Pricing the Planet's Future offers an ideal framework for dynamic problems and decision making.
Autoren/Hrsg.
Fachgebiete
- Wirtschaftswissenschaften Volkswirtschaftslehre Volkswirtschaftslehre Allgemein
- Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Finanzsektor & Finanzdienstleistungen: Allgemeines
- Wirtschaftswissenschaften Volkswirtschaftslehre Internationale Wirtschaft Internationale Finanzmärkte
- Wirtschaftswissenschaften Finanzsektor & Finanzdienstleistungen Internationale Finanzmärkte
Weitere Infos & Material
Preface vii
Introduction 1
Part I: The Simple Economics of Discounting
1 Three Ways to Determine the Discount Rate 17
2 The Ramsey Rule 26
3 Extending the Ramsey Rule to an Uncertain
Economic Growth 41
Part II: The Term Structure of Discount Rates
4 Random Walk and Mean-Reversion
61
5 Markov Switches and Extreme Events 74
6 Parametric Uncertainty and Fat Tails 84
7 The Weitzman Argument 98
8 A Theory of the Decreasing Term Structure
of Discount Rates 111
Part III: Extensions
9 Inequalities 131
10 Discounting Non-monetary
Benefits 149
11 Alternative Decision Criteria 168
Part IV: Evaluation of Risky and Uncertain Projects
12 Evaluation of Risky Projects 185
13 The Option Value of Uncertain Projects 203
14 Evaluation of Non-marginal
Projects 215
Global Conclusion 225
Index 227