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Discounting (Q497)

From ClimateKG
Subject, term, tag: Discounting
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English
Discounting
Subject, term, tag: Discounting

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    A mathematical operation that aims to make monetary (or other) amounts received or expended at different times (years) comparable across time. If the discount rate is positive, future values are given less weight than those today. The choice of discount rate(s) is debated as it is a judgement based on hidden and/or explicit values. From Wikipedia In finance, discounting is a mechanism in which a debtor obtains the right to delay payments to a creditor, for a defined period of time, in exchange for a charge or fee. (English)
    IPCC Glossary v1.5
     
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