The rate of time preference is part of the social discount rate. Many argue that this component of the social discount rate should be set to zero. This implies that: O our generation receives higher preference compared to future generations in a benefit cost analysis O our generation receives the same preference compared to future generations in a benefit cost analysis O our generation receives lower preference compared to future generations in a benefit cost analysis

The rate of time preference is part of the social discount rate. Many argue that this component of the social discount rate should be set to zero. This implies that: O our generation receives higher preference compared to future generations in a benefit cost analysis O our generation receives the same preference compared to future generations in a benefit cost analysis O our generation receives lower preference compared to future generations in a benefit cost analysis

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter13: General Equilibrium And Welfare

Section: Chapter Questions

Problem 13.12P

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