The limit of discounted utilitarianism
Adam Jonsson () and
Additional contact information
Adam Jonsson: Department of Engineering Sciences and Mathematics, Postal: Luleå University of Technology, 97187 Luleå, Sweden
No 748, SSE/EFI Working Paper Series in Economics and Finance from Stockholm School of Economics
This paper presents an infinite-horizon version of intergenerational utilitarianism. By studying discounted utilitarianism as the discount factor tends to one, we obtain a new welfare criterion: limit-discounted utilitarianism (LDU). We show that LDU meets standard assumptions of efficiency, equity, and interpersonal comparability, but allows us to compare more pairs of utility streams than commonly-used utilitarian criteria, including the overtaking criterion and the catching-up criterion. We also introduce a principle of compensation for postponements of utility streams and use it to characterize the LDU criterion on a restricted domain.
Keywords: utilitarianism; intergenerational equity; time preference (search for similar items in EconPapers)
JEL-codes: D63 D70 D90 (search for similar items in EconPapers)
Pages: 16 pages
Date: 2014-03-17, Revised 2017-02-01
New Economics Papers: this item is included in nep-ger, nep-hpe and nep-upt
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
Journal Article: The limit of discounted utilitarianism (2018)
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:hhs:hastef:0748
Access Statistics for this paper
More papers in SSE/EFI Working Paper Series in Economics and Finance from Stockholm School of Economics The Economic Research Institute, Stockholm School of Economics, P.O. Box 6501, 113 83 Stockholm, Sweden. Contact information at EDIRC.
Bibliographic data for series maintained by Helena Lundin ().