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Discount Factors for Public Sector Investment Projects Using the Sum of Discounted Consumption Flows—Estimates for the United Kingdom

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  • E Kula

    (Department of Economics, The New University of Ulster, Coleraine, Co Londonderry BT52 1SA, Northern Ireland)

Abstract

In this article a model to estimate a discount factor matrix is derived for discount rates between 1% and 15% for the United Kingdom on the basis of a public-sector project evaluation method known as the sum of discounted consumption flows. These factors can readily be used by project analysts working on United Kingdom projects, especially those in which costs and benefits extend over many years.

Suggested Citation

  • E Kula, 1984. "Discount Factors for Public Sector Investment Projects Using the Sum of Discounted Consumption Flows—Estimates for the United Kingdom," Environment and Planning A, , vol. 16(5), pages 689-694, May.
    • Handle: RePEc:sae:envira:v:16:y:1984:i:5:p:689-694
    DOI: 10.1068/a160689
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    Cited by:

    1. Brazee, Richard J., 2018. "Impacts of declining discount rates on optimal harvest age and land expectation values," Journal of Forest Economics, Elsevier, vol. 31(C), pages 27-38.

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