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Policy analysis, welfare economics, and the greenhouse effect
Author(s) -
Brown Peter G.
Publication year - 1988
Publication title -
journal of policy analysis and management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.898
H-Index - 84
eISSN - 1520-6688
pISSN - 0276-8739
DOI - 10.2307/3323725
Subject(s) - economics , welfare , public economics , greenhouse , natural resource economics , neoclassical economics , market economy , biology , horticulture
Abstract Welfare economics is evaluated as a framework for setting policy with respect to the greenhouse effect. It is found to be unpromising for three reasons: (1) The concept of discounting leads to the view that events in the further future have no value, (2) the baselines necessary to use welfare‐economic decision rules cannot be established, and (3) no nonparadoxical answer can be given to the question: How should we value the welfare of future persons? As analysts begin the task of formulating policy with respect to the greenhouse effect they will need tools other than thoser provided by welfare economics.