Abstract
This paper demonstrates that Bishop's formulation deviates in a fundamental way from our model and, in so doing, Bishop has assumed the problem away. Bishop utilizes a utility function that is too general to discriminate the time pattern of consumption from that of production. Hence, the intertemporal nature of the goods that we analyzed cannot be captured by Bishop's representation. Furthermore, we show that current benefit cost methods that discount the benefit stream of a public asset are Pareto intertemporally inefficient.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 252-257 |
| Number of pages | 6 |
| Journal | Journal of Environmental Economics and Management |
| Volume | 4 |
| Issue number | 3 |
| DOIs | |
| State | Published - 1977 |
| Externally published | Yes |
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ASJC Scopus subject areas
- Economics and Econometrics
- Management, Monitoring, Policy and Law
Cite this
Intertemporal and intergenerational pareto efficiency revisited. / Sandler, Todd; Kerry Smith, V.
In: Journal of Environmental Economics and Management, Vol. 4, No. 3, 1977, p. 252-257.Research output: Contribution to journal › Article
}
TY - JOUR
T1 - Intertemporal and intergenerational pareto efficiency revisited
AU - Sandler, Todd
AU - Kerry Smith, V.
PY - 1977
Y1 - 1977
N2 - This paper demonstrates that Bishop's formulation deviates in a fundamental way from our model and, in so doing, Bishop has assumed the problem away. Bishop utilizes a utility function that is too general to discriminate the time pattern of consumption from that of production. Hence, the intertemporal nature of the goods that we analyzed cannot be captured by Bishop's representation. Furthermore, we show that current benefit cost methods that discount the benefit stream of a public asset are Pareto intertemporally inefficient.
AB - This paper demonstrates that Bishop's formulation deviates in a fundamental way from our model and, in so doing, Bishop has assumed the problem away. Bishop utilizes a utility function that is too general to discriminate the time pattern of consumption from that of production. Hence, the intertemporal nature of the goods that we analyzed cannot be captured by Bishop's representation. Furthermore, we show that current benefit cost methods that discount the benefit stream of a public asset are Pareto intertemporally inefficient.
UR - http://www.scopus.com/inward/record.url?scp=0011445732&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=0011445732&partnerID=8YFLogxK
U2 - 10.1016/0095-0696(77)90008-0
DO - 10.1016/0095-0696(77)90008-0
M3 - Article
AN - SCOPUS:0011445732
VL - 4
SP - 252
EP - 257
JO - Journal of Environmental Economics and Management
JF - Journal of Environmental Economics and Management
SN - 0095-0696
IS - 3
ER -