A Social Discount Rate for Appraisal of Regional Investments: Evidence from Russia

Tatiana Kossova and Maria Sheluntcova

International Journal of Public Administration, 2014, vol. 37, issue 14, 1024-1029

Abstract: This article provides estimates of a social discount rate (SDR) to inform government policy in Russia. We find that a SDR should be determined for the whole country as well as for particular regions. We apply the social rate of time preferences approach and estimate values for public sector projects at national and regional levels. All calculations are based on data from the Federal State Statistics Service of Russia. Findings help the decision-making process in the public sector of economics. Suggestions are useful for Russia as well as for post-Soviet countries and other developing economies with regional diversity.

Date: 2014
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DOI: 10.1080/01900692.2014.928318

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