Premium
Valuing the future: a MADA example involving nuclear waste storage
Author(s) -
Atherton Elizabeth,
French Simon
Publication year - 1998
Publication title -
journal of multi‐criteria decision analysis
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.462
H-Index - 47
eISSN - 1099-1360
pISSN - 1057-9214
DOI - 10.1002/(sici)1099-1360(199811)7:6<304::aid-mcda225>3.0.co;2-0
Subject(s) - discounting , context (archaeology) , risk analysis (engineering) , decision process , operations research , computer science , management science , environmental economics , economics , engineering , business , geography , archaeology , finance
Intertemporal decision making involves decisions that have consequences that span several periods of time and often extend far into the future. The purpose of this paper is to discuss and highlight the differences associated with different evaluation methods designed to cope with the long‐term impacts of a decision including discounting. The concepts and ideas are illustrated in the context of a decision about a nuclear waste facility. We show how applying different discounting methodologies can greatly affect the decision made, especially over long time periods. © 1998 John Wiley & Sons, Ltd.