How to aggregate experts' discount rates: An equilibrium approach
Napp, Clotilde; Jouini, Elyès (2014), How to aggregate experts' discount rates: An equilibrium approach, Economic Modelling, 36, p. 235–243. http://dx.doi.org/10.1016/j.econmod.2013.09.052
TypeArticle accepté pour publication ou publié
External document linkhttp://halshs.archives-ouvertes.fr/halshs-00394035/en/
Journal nameEconomic Modelling
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Abstract (EN)We address the problem of a social planner who, as in Weitzman, (2001), gathers data on experts' discount rates and wants to infer the social consumption discount rate. We propose an equilibrium approach and we analyze the expression and the properties of the resulting equilibrium discount rate. We analyze the impact of shifts in the distribution of experts' discount rates on the shape of the yield curve. Finally, we apply our approach to Weitzman's (2001) data to propose discount rates for public sector cost–benefit analysis, in particular for the long term.
Subjects / KeywordsDivergence of opinion; Gamma discounting; Cost–benefit analysis; Hyperbolic discounting; Experts discount rate; Equilibrium discount rate; Consumption discount rate
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Properties of the Social Discount Rate in a Benthamite Framework with Heterogeneous Degrees of Impatience Jouini, Elyès; Napp, Clotilde; Nocetti, Diego (2008) Article accepté pour publication ou publié