Question: The U S Office of Management and Budget OMB recommends that

The U.S. Office of Management and Budget (OMB) recommends that the government use different discount rates for public investments than for the sale of government assets. For public investments, the OMB suggests a discount rate that reflects the historical pretax rate of return on private investments, while for the sale of government assets, the OMB recommends using the cost of government borrowing as a discount rate. Why might the OMB make this distinction?

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  • CreatedApril 25, 2015
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