Estimation of Social Discount Rate for Iran

This paper estimates a social discount Rate for Iran for the purpose of economic evaluation of investment projects such as those aimed at improving the nation's welfare. The component parameters of this rate are, the growth rate of per capital consumption in real term, the elasticity of the marginal utility of consumption and mortality-based discount rate. Based upon time series data the overall figure out of be %7.2, that appears to be reasonable and thus may be used in cost-benefit analysis in the country.