“money is worth less in the future” is not a general rule but a function of inflation
That is only partially true. The time value of money is a function not only of inflation, but of other things as well, notably the value of time (e.g. human lives are finite) and opportunity costs.
In fact, one of the approaches to figuring out the proper discounting rate for future cash flows is to estimate your opportunity costs and use that.
That is only partially true. The time value of money is a function not only of inflation, but of other things as well, notably the value of time (e.g. human lives are finite) and opportunity costs.
In fact, one of the approaches to figuring out the proper discounting rate for future cash flows is to estimate your opportunity costs and use that.