What would net benefits be at a discount rate of two percent


Problem

Suppose the costs of an environmental pollution-control program are expected to be equal to $80 per year, and that benefits will be $50 per year for 50 years, then $150 per year thereafter. At a discount rate of 4 percent, what are the net benefits of this program? What would the net benefits be at a discount rate of 2 percent? Comment on the difference.

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: What would net benefits be at a discount rate of two percent
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