What is Perpetuity growth rate (g)?
The forever growth rate in the Gordon model, near long-run nominal GDP, 2 to 3%. Above 4% is indefensible.
Where you will use it: this term comes up in the Entrepreneurial Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Entrepreneurial Finance course by Devon Coombs, CPA, MBA.