Discounting
For policies with long-run implications, the choice of how to discount future costs and benefits can have enormous significance. RFF research interests include how to best empirically determine the appropriate discount rate, whether it should decrease over time (hyperbolic discounting), and approaches to incorporating uncertainty and tail effects.
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Working Paper — Oct 23, 2023
Disentangling the Roles of Growth Uncertainty, Discounting, and the Climate Beta on the Social Cost of Carbon
This working paper clarifies the conceptual effect of uncertainty in future economic growth on the social cost of carbon.
Testimony and Public Comments — Aug 3, 2023
Individual Peer Reviewer Comments on Proposed OMB Circular No. A-4, "Regulatory Analysis"
Billy Pizer, RFF's Vice President for Research and Policy Engagement, shares his thoughts on Circular A-4 as part of the Office of Management and Budget's peer-review process.
Testimony and Public Comments — Jun 1, 2023
Comments to OMB on the Proposed Revisions to Circular A-4
To the Office of Management and Budget on proposed revisions to Circular A-4.
Testimony and Public Comments — Apr 28, 2023
Comments to OMB on Expert Peer Reviewers for the Revision to Circular A-4
To the Office of Management and Budget on nominations of experts to participate in the scientific peer review of proposed revisions to Circular A-4.
Working Paper — Oct 23, 2023
Disentangling the Roles of Growth Uncertainty, Discounting, and the Climate Beta on the Social Cost of Carbon
This working paper clarifies the conceptual effect of uncertainty in future economic growth on the social cost of carbon.
Testimony and Public Comments — Aug 3, 2023
Individual Peer Reviewer Comments on Proposed OMB Circular No. A-4, "Regulatory Analysis"
Billy Pizer, RFF's Vice President for Research and Policy Engagement, shares his thoughts on Circular A-4 as part of the Office of Management and Budget's peer-review process.
Testimony and Public Comments — Jun 1, 2023
Comments to OMB on the Proposed Revisions to Circular A-4
To the Office of Management and Budget on proposed revisions to Circular A-4.
Testimony and Public Comments — Apr 28, 2023
Comments to OMB on Expert Peer Reviewers for the Revision to Circular A-4
To the Office of Management and Budget on nominations of experts to participate in the scientific peer review of proposed revisions to Circular A-4.
Resources Magazine — Feb 25, 2021
How Permanently Can One Presidential Administration Impact Environmental Policy?
The Trump administration has reshaped how environmental regulations are implemented and how benefit-cost analyses are conducted. RFF’s Art Fraas and Richard D. Morgenstern debate how enduring these changes will be.
Common Resources — Jan 11, 2021
How Permanently Has the Outgoing Administration Impacted Environmental Policy?
The Trump administration has reshaped how environmental regulations are implemented and how benefit-cost analyses are conducted. RFF’s Art Fraas and Richard D. Morgenstern discuss and debate how enduring these changes will be.
Common Resources — Sep 5, 2013
Estimating The Social Cost Of Carbon: Robert Pindyck’s Critique
The US government’s new consensus estimate of the social cost of carbon (SCC)—around $43 per ton of CO2 from a 2020 baseline—has met with some appr...
Common Resources — Sep 4, 2013
Towards an Agreed-Upon Social Cost of Carbon
The social cost of carbon (SCC) is a monetary estimate of the global external (i.e., non-market) costs from a ton of CO2 (or greenhouse gas equival...
Press Release — Jun 14, 2021
To Accurately Estimate a Policy’s Future Benefits and Costs, Consider the Consumer
To Accurately Estimate a Policy’s Future Benefits and Costs, Consider the Consumer
Media Highlight — Aug 20, 2017
Climate Changes the Debate: The Impact of Demographics on Long-Term Discount Rates
Climate Changes the Debate: The Impact of Demographics on Long-Term Discount Rates