Cost-Benefit Discounting

This video is a part of Conservation Strategy Fund's collection of environmental economic lessons and was made possible thanks to the support of the Gordon and Betty Moore Foundation and the Marcia Brady Tucker Foundation. This series is for individuals who want to learn - or review - the basic economics of conservation. In this video, you will learn why you discount the future in cost-benefit analysis. Concepts include discount rates, weighted average discount rates, economic opportunity costs of capital and financial vs. economic discount rates.

[guyappin]

Omg... I'll say it again: omg! After watching tons of technical videos (which for some reason doesn't compute with my type of learning style), -the creator(s) of this video delivered the same information in a way which matches my learning style and it was super easy to digest. It took me months to understand this concept until right now! I imagine that creating this nifty cartoon animation and writing the narrative while piecing it all together through editing was a ton of hard work and took hours upon hours to do with a 7min 46sec presentation. So just wanted to tell you guys that I'm indebted and trying to express my sincerest gratitude in creating this video -which in the future will be viewed by thousands... You have my thanks and appreciation and hope to pay it forward one day

[CommandoX]

So many people -- including those in the realm producing educational content on finance -- mistakenly conflate time-value-of-money with inflation; it is thus that much more satisfying to come across this excellent segment.

Thank you very much.

[sofexpert]

Some people just have the gift of teaching. Thanks for your gift of teaching.

[LJAguila-nd]

This is gold. 🙌🙌🙌 Thank you so much for this.

[parisafshordy]

If you find the video valuable but too fast, you can slow down the speed under settings. enjoy!

[vanessalai]

best explanation I have watched so far

[MarcusWhybrow]

Thanks. Was reading Bjorn Lomborg's "How to Spend $75 Billion to Make the World a Better Place" and had never heard of discount rate.

[Melles]

Excellent series that helps clarify book concepts visually. Many thanks

[J]

Wow, like the others have said... After 20 other video attempts, I feel so RELIEVED and GRATEFUL to finally find these videos and understand what discount rate actually is. So many others just tell you the discount rate "discounts against future value" and then move right along. It literally makes my head hurt just to think about it lol

[aleemahjagers]

Great video! I wish everything could be explained this way for us visual learners!!!

[camillasmith]

Jesse thank you so much for posting these videos. Environmental economics is far more complex than I imagined. You explain the challenging concepts really well and I appreciate the visuals. Thank you!

[ryibmu]

I'm a subscriber now, you don't understand the value you have in your videos, explaining something so simply is an art. And I'm in Finance this is how Finance should be taught

[wahyudin]

great job... learning fast as we can hear and see the display... its wonderful way

[chimpsgimps]

One of the best videos I’ve ever seen! So informative and in such a creative way! 10/10

[SpectrumEconomics]

Very funny and straight to the point video. Excellent explanation of discounting and discount rates. Many people struggle with the concept of discounting and how discount rates should be applied to CBA.

[ninacarraway]

great job! really helped me cos I'm a visual learner. thanks!

[mordecaimorales]

This is Amazing!!! GOOD SIR THAT'S MAKING IT SO SIMPLE I CAN FINALLY UNDERSTAND!!! THANK YOU!

[kellil]

This video was so helpful for my microecon class!

[jacksonludwig]

This is awesome! I'm in a transportation economics course and this is very helpful. Thank you!

[lukehedman]

Wonderful video. It explained some ideas in my Environmental Science class better than the textbook, and the animations were entertaining and funny. Thanks.

My only requests are time stamps for sections and a transcription of the voice-over. Both would make taking notes and making flashcards much easier.

Overall, well done and much appreciated.