A visitor is traveling to a natural recreation site and has…

A visitor is traveling to a natural recreation site and has two transportation options: E-Scooter: Costs $20 and takes 1.5 hours Uber: Costs $90 and takes 20 minutes The visitor chooses Uber, which is more expensive but much faster. Assuming that the visitor’s choice reflects the value they place on saving travel time, what is the visitor’s minimum value of time?

While lower social discount rates favor long-term conservati…

While lower social discount rates favor long-term conservation projects by raising the present value of future flows, setting the discount rate to zero is widely rejected in cost-benefit analysis. Explain the mathematical and economic reasons why a 0% discount rate cannot be used to evaluate projects with perpetual benefits.