Sorry about the subject line. For clarity I removed a rambling
discussion of that topic from what I sent: I should have changed the
subject line back...

I will try to clarify my discomfort with how economists typically
approach this matter and hope to submit that later.

Meanwhile to whet your appetite I'd like to direct your attention to
the work of Mastrandrea and Schenider as an interesting
counterexample. See

http://tinyurl.com/ls2so

i.e.:

http://iis-db.stanford.edu/pubs/20560/ProbabilisticIntegratedAssessment.pdf

I call your attention especially to the discussion of discount rates
associated with Fig 4 (at the page boundary between pp 573-574). The
probability of dangerous climate change, as one would expect, depends
greatly on the assumed discount rate. At high discount rates lower
controls become "optimal" in conventional economic thinking.

Clearly such an optimization, one which economists would commonly
defend as objective and rational, is optimizing for the wrong value. A
policy that leaves the long-term future viability of the planet (and
hence, plausibly, of sentient life in the entire universe) contingent
on contemporary market forces is neither objective nor rational.

mt

--~--~---------~--~----~------------~-------~--~----~
You received this message because you are subscribed to the Google Groups 
Global Change ("globalchange") newsgroup. Global Change is a public, moderated 
venue for discussion of science, technology, economics and policy dimensions of 
global environmental change. 

Posts will be admitted to the list if and only if any moderator finds the 
submission to be constructive and/or interesting, on topic, and not 
gratuitously rude. 

To post to this group, send email to [email protected]

To unsubscribe from this group, send email to [EMAIL PROTECTED]

For more options, visit this group at 
http://groups.google.com/group/globalchange
-~----------~----~----~----~------~----~------~--~---

Reply via email to