How to aggregate experts' discount rates: An equilibrium approach

C-Tier
Journal: Economic Modeling
Year: 2014
Volume: 36
Issue: C
Pages: 235-243

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

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.

Technical Details

RePEc Handle
repec:eee:ecmode:v:36:y:2014:i:c:p:235-243
Journal Field
General
Author Count
2
Added to Database
2026-01-25