Oliver,

Looks like we are on similar ground.

I think the main argument is:

*It is fine for you to use discounting when making your own personal
decision about cash flows that affect only you, but it is unethical to use
a discounting argument to take something away from somebody else and
consume it yourself.*

To me, that is the fundamental sophistry involved in inter-generational
discounting.

Inter-generational discounting is a thin veil to justify plundering the
assets of future generations.

Best,

Ken






_______________
Ken Caldeira

Carnegie Institution for Science
Dept of Global Ecology
260 Panama Street, Stanford, CA 94305 USA
+1 650 704 7212 [email protected]
http://dge.stanford.edu/labs/caldeiralab  @kencaldeira




On Mon, Sep 16, 2013 at 11:41 AM, Oliver Tickell
<[email protected]>wrote:

>  Ken, I do like your way of looking at this!
>
> FYI I attach the part of my book Kyoto2 which addresses these questions.
> Oliver.
>
>
> On 14/09/2013 17:02, Ken Caldeira wrote:
>
> Had the Romans discovered fossil fuels, and invented automobiles and power
> plants and so on, and applied the logic recommended by Nordhaus, right now
>
>  -- the great ice sheets would be melting, with sea-level probably rising
> a meter per century
> -- oceans would be acidified, coral reefs gone
>  -- the arctic as we know it today would be gone
> -- the tropics would be suffering from blistering heat
> -- etc
>
>  Would we be glad that the ancient Romans listened to their economists,
> and maximized their net present value so they could go on a fossil-fueled
> spending binge for a century or two?
>
>  ----
>
>  As an aside, when I say we should or should not do something, or that
> something is good or bad, I am presenting my personal opinion as a human
> being and not pretending that it is a scientific result.
>
>  When Eduardo Porter repreresents Nordhaus as says, "If investments in CO2 
> abatement
> are not competitive, we would do better by investing elsewhere and using
> the proceeds to cover warming’s damage.", is this supposed to be a
> representation of personal values, or is this a finding of the "science" of
> economics?  If the latter, then I would know to see how this "science"
> proceeds from empirical facts to prescriptive statements about what we
> ought to do.  What is the experiment that would demonstrate the truth of
> the quoted sentence?
>
>  Science tells us facts about the world. Religion and morality tell us
> about what we ought or ought not to do.  Is economics a science or a
> religion?
>
>  ----
>
>  I prefer the speed of light to be 6 x 10**8 m/s, instead of a measly 3 x
> 10**8 m/s. Is this like Nordhaus saying he prefers a discount rate of 4%?
> Do facts matter here, or do we just dress up our values with a little
> mathematics and pretend it is a science?
>
>
>
>  _______________
> Ken Caldeira
>
> Carnegie Institution for Science
> Dept of Global Ecology
> 260 Panama Street, Stanford, CA 94305 USA
> +1 650 704 7212 [email protected]
> http://dge.stanford.edu/labs/caldeiralab  @kencaldeira
>
>
>
>
> On Sat, Sep 14, 2013 at 11:40 AM, Greg Rau <[email protected]> wrote:
>
>>
>>
>> http://www.nytimes.com/2013/09/11/business/counting-the-cost-of-fixing-the-future.html
>>
>>  Interesting article navigating the SCC (social cost of carbon) issue,
>> critical measure for evaluating the applicability of any mitigation
>> action/technology.
>>
>>  One revealing quote from Nordhaus:
>>
>>  “Investments in reducing future climate damages to corn and trees and
>> other areas should compete with investments in better seed, improved
>> rotation and many other high-yield investments.” If investments in CO2 
>> abatement
>> are not competitive, we would do better by investing elsewhere and using
>> the proceeds to cover warming’s damage. We would still have money left
>> over.  Professor Nordhaus says he prefers a 4 percent discount rate.
>> Using it in “A Question of Balance,” he calculates that the optimal carbon
>> tax comes in at around $11 per ton of CO2.
>>
>>  Greg
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