The ethics of intergenerational risk
Paolo Giovanni Piacquadio
Journal of Economic Theory, 2020, vol. 186, issue C
This paper addresses the evaluation of intergenerational allocations in an uncertain world. It axiomatically characterizes a class of criteria, named reference-dependent utilitarian, that assess allocations relative to a stochastic reference. The characterized criteria combine social concerns for ex-ante equity—capturing the idea that generations should be treated equitably before risk is resolved—and for ex-post fairness—capturing the idea that generations should be treated equitably after risk is resolved. Social discounting is endogenous and is governed by two opposite forces: extinction risk pushes society to reduce the weight on future generations, while (uninsurable) technological risk pushes society to increase the weight on future generations.
Keywords: Intergenerational justice; Gradual resolution of risk; Welfare criteria; Discounting (search for similar items in EconPapers)
JEL-codes: D63 D81 H43 (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Full text for ScienceDirect subscribers only
Working Paper: The Ethics of Intergenerational Risk (2017)
Working Paper: The Ethics of Intergenerational Risk (2015)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:eee:jetheo:v:186:y:2020:i:c:s0022053120300077
Access Statistics for this article
Journal of Economic Theory is currently edited by A. Lizzeri and K. Shell
More articles in Journal of Economic Theory from Elsevier
Bibliographic data for series maintained by Haili He ().