Time value of money was an important aspect of my job when I worked in the Cost Benefit Analysis (CBA) Team for the Queensland Government. We typically used discount rates of 4% and 7%. It made quite a difference as project had evaluation periods as long as 30 years. These rates were determined on a national level so we had no say in determining them. I think it makes sense to have more than one discount rate for the purpose of sensitive testing results.
RE: Understanding the Time Value of Money