Consider the role of discount rates in the problems


Consider the role of discount rates in the problems involving long time horizons such as climate change. Suppose that a particular emissions abatement strategy would result in a $600 billion reduction in damages 50 years into the future. How would the maximum amount spent now to eliminate those damages change if the discount rate is 1 percent rather than 10 percent?

Request for Solution File

Ask an Expert for Answer!!
Business Economics: Consider the role of discount rates in the problems
Reference No:- TGS01353485

Expected delivery within 24 Hours