I was studying return measures such as NPV and IRR from Damodaran's "Applied Corporate Finance" and one thing that he continuously mentioned was that NPV is biased towards projects with longer lives while IRR is biased towards projects with small initial investment. While the second point seems valid given that IRR is a percentage based scaled measure and should prefer projects with small investments, I haven't been able to wrap my head around the NPV's bias.
Is the author talking about some inherent statistical bias that comes from discounting the cash flows? If yes, then how does this bias comes up?
Any help would be appreciated.