Mertens, Jean-François; Rubinchik, Anna - Center for Operations Research and Econometrics (CORE), … - 2008
For two independent principles of intergenerational equity, the implied discount rate equals the growth rate of real … prove this, we develop a simple tool to evaluate small policy changes affecting several generations, by reducing the dynamic … overlapping generations model with exogenous growth. This tool is applied to derive the discount rate for cost-benefit analysis …