Discount rates in consumers' energy-related decisions: A review of the literature
Discount rates in consumers' energy-related decisions: A review of the literature
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DOI：
10.1016/0360-5442(85)90135-5
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发表时间：
1985-12
期刊：
影响因子：
9
通讯作者：
K. Train
中科院分区：
文献类型：
--
作者：
K. Train
Estimates of consumers’ discount rates are required by utilities and regulatory agencies to forecast the market penetration of household energy technologies and to evaluate the potential impact of conservation programs. To predict penetration rates, the life cycle cost of each available technology is calculated from projections of capital and operating costs, using consumers’ discount rates to translate future costs into current equivalents. For conservation programs, consumers are assumed to invest in energy-saving measures (eg, insulation) that offer rates of return in excess of their discount rates; with estimates of discount rates, levels of conservation investments are predicted.Given the central importance of consumers’ discount rates in these calculations, it is not surprising that a considerable body of literature has arisen estimating these rates. Unfortunately, most of the relevant studies are circulated as reports, many ofwhich are difficult to obtain. Furthermore, several studies that were published in journals or books have, it seems, escaped general notice. For these reasons, a paper identifying and describing the various studies and their findings seemed useful. The relative merit of various approaches is not evaluated, nor are explanations attempted for the differences in findings. Instead, we present studies and their results in an organized fashion; with this information, researchers can draw their own conclusions. The first section of the paper describes the methods that have been employed; the second section presents the empirical findings.
