Tol, Richard S. J.; Arrow, Kenneth J.; Cropper, Maureen L. - Department of Economics, School of Business, Management … - 2013
Ramsey formula, uncertainty about the future rate of growth in per capita consumption can lead to a declining consumption … rate of discount, assuming that shocks to consumption are positively correlated. This uncertainty in future consumption … uncertainty about the mean rate of growth in mean consumption or its volatility. Determining the remaining parameters of the …
