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- W2740836876 abstract "Costs and benefits must be reduced to a common currency. The date of decision is chosen so that benefits tend to be more affected than costs. This chapter discusses the method adopted, the rate, involving both risk and futurity, and the principle for project selection. For the problem of allocation of resources within further education when total available resources are known, the general approach is Feldstein's. Selection of a project aims at maximizing net social benefit, the net addition to consumption resulting from undertaking a project. With a given budget, the social cost of funds transferred to the public sector for any project can be ignored, although for a fuller optimum, the budget must be adjusted to equate net social benefit from the marginal private to that from the marginal social project, in this sector and elsewhere. When all outlays are equal and occur in a single period, selection of a project is trivial. The resultant ranking of projects is transitive." @default.
- W2740836876 created "2017-08-08" @default.
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- W2740836876 date "1970-01-01" @default.
- W2740836876 modified "2023-09-23" @default.
- W2740836876 title "The Discount Rate11This chapter is a technical discussion which can be omitted by the general reader." @default.
- W2740836876 doi "https://doi.org/10.1016/b978-0-08-016163-1.50010-2" @default.
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