Climate Change, Catastrophic Risks and Social Choice Theory

Norman Schofield ()
Additional contact information
Norman Schofield: Center in Political Economy, Washington University

A chapter in The Economics of the Global Environment, 2016, pp 389-421 from Springer

Abstract: Abstract The enlightenment was a philosophical project to construct a rational society without the need for a supreme being. It opened the way for the creation of market democracy and rapid economic growth. At the same time economic growth is the underlying cause of climate change, and we have become aware that this may destroy our civilization. The principal underpinning of the enlightenment project is the general equilibrium theorem (GET) of Arrow and Debreu (1954), asserting the existence of a Pareto optimal price equilibrium. Arrow’s work in social choice can be interpreted as an attempt to construct a more general social equilibrium theorem. The current paper surveys recent results in social choice which suggests that chaos rather than equilibrium is generic. We also consider models of belief aggregation similar to Condorcet’s Jury theorem and mention Penn’s Theorem on existence of a belief equilibrium. However, it is suggested that a belief equilibrium with regard to the appropriate response to climate change depends on the creation of a fundamental social principle of “guardianship of our planetary home.” It is suggested that this will involve conflict between entrenched economic interests and ordinary people, as the effects of climate change make themselves felt in many countries.

Keywords: The enlightenment; Climate change; Black swan events; Dynamical models; H10 (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:steccp:978-3-319-31943-8_18

Ordering information: This item can be ordered from
http://www.springer.com/9783319319438

DOI: 10.1007/978-3-319-31943-8_18

Access Statistics for this chapter

More chapters in Studies in Economic Theory from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().