Discounting and health benefits: Another Perspective

Abstract

This paper reviews the argument advanced by Parsonage and Neuburger that the non‐monetary benefits of health programmes should be discounted at lower rate than that used for financial flows. The conceptual issues raised in the paper are discussed and others, such as the tradability of non‐monetary benefits and the link between individual and social discount rates are introduced. The collection and assessment of more evidence is needed before Parsonage and Neuburger's Proposition can be supported.