Document Type
Article
Publication Date
2014
DOI
10.5085/jfe.25.1.71
Publication Title
Journal of Forensic Economics
Volume
25
Issue
1
Pages
71-89
Abstract
The practice of forensic economics has a long history of trying to identify the correct interest rate to use when valuing economic losses in personal injury and wrongful death cases. We trace the legal history as it relates to the appropriate interest rates and adjustments for inflation. We then discuss the use of Treasury Inflation Protected Securities, TIPS, and an analysis of the combined effect of realized inflation and taxes on the effective return. We come to the unexpected conclusion that the use of TIPS does not lend itself to a simple adjustment to the rate for taxes nor eliminate the need to consider expected inflation.
Original Publication Citation
Strangways, R., Rubin, B. L., & Zugelder, M. (2014). Using TIPS to discount to present value. Journal of Forensic Economics, 25(1), 71-89. doi:10.5085/jfe.25.1.71
Repository Citation
Strangways, Raymond; Rubin, Bruce L.; and Zugelder, Michael, "Using TIPS to Discount to Present Value" (2014). Finance Faculty Publications. 9.
https://digitalcommons.odu.edu/finance_facpubs/9
Included in
Civil Law Commons, Finance and Financial Management Commons, Workers' Compensation Law Commons