1. Values in Time Discounting
- Author
-
Conrad Heilmann and Erasmus School of Philosophy
- Subjects
Health (social science) ,010504 meteorology & atmospheric sciences ,Social Values ,Stern Review ,Economics ,Climate ,Climate Change ,Cost-Benefit Analysis ,Decision Making ,Climate change ,Public Policy ,Social value orientations ,01 natural sciences ,Ideal (ethics) ,Management of Technology and Innovation ,0502 economics and business ,Value-free ideal ,Humans ,Time discounting ,050207 economics ,Positive economics ,Policy Making ,0105 earth and related environmental sciences ,Stern review, climate economics ,Philosophy of science ,Original Paper ,Public economics ,Health Policy ,Philosophy and economics ,05 social sciences ,Philosophy of economics ,Dissent and Disputes ,Discount rate ,Issues, ethics and legal aspects ,Stern ,13. Climate action ,Time preference ,Ethical Analysis - Abstract
Controversies about time discounting loom large in decisions about climate change. Prominently, a particularly controversial debate about time discounting in climate change decision-making has been conducted within climate economics, between the authors of Stern et al. (Stern review on the economics of climate change, 2006) and their critics (most prominently Dasgupta in Comments on the Stern review's economics of climate change, 2006; Tol in Energy Environ 17(6):977-981, 2006; Weitzman in J Econ Lit XLV:703-724, 2007; Nordhaus in J Econ Lit XLV:686-702, 2007). The article examines the role of values in this debate. Firstly, it is shown that time discounting is a case in which values are key because it is at heart an ethical problem. Secondly, it is argued that time discounting in climate economics is a case of economists making frequent and routine references to ethical values and indeed conduct ethical debates with each other. Thirdly, it is argued that there is evidence for deep and pervasive entanglement between facts and values in the prevalent methodologies for time discounting. Finally, it is argued that this means that economists have given up the 'value-free ideal' concerning time discounting, and discussed how the current methodology of time discounting in economics can be improved.
- Published
- 2017