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Abstract
Several reasons have been given to justify discount rates which decline through time. The
expected and computed result is a sequence of progressively lengthening rotations. Reasons
have also been given why different kinds of benefit (or cost) might be discounted at different
rates: in particular, carbon fluxes. A similar lengthening sequence of rotations then invariably
arises, whether the benefits are consumptive ones realised at the rotation end, or nonconsumptive
ones whose annual value increases through the rotation. (Constant annual benefits
have no effect on rotation, irrespective of discount rate.) The factors which justify different
discount rates for different kinds of benefit do not lead to the dynamic inconsistency that arises
when discount rates differ according to the length of the discounting period.