This paper presents a simple principal-supervisor-agent model of the investment game between a supranational player (the principal), such as the European Commission, a regional government (the supervisor), and a private firm (the executing agency) . The EC is a benevolent social welfare...

Pareto welfare criterion based on people’s willingness to pay for a project’s output is regarded by many as a narrow interpretation of improvement in social well-being. A broader opinion is that even though poorer individuals may be less able to pay for a particular benefit, they may obtain...

Time discounting in the public sector remains a source of confusion and some academic controversy. The very concept of a ”social” discount rate, not revealed by the market, is rejected by mainstream financial economics. Elsewhere the setting of public sector discount rates equal to the...

The presentation focuses on the development evaluation experience and its relevance to investment planning in Europe. Both the development idea and the European project emerged out of the ashes of World War II when the victorious allies sought to turn swords into ploughshares. The new evaluation...