Abstract
The implications of Rawls' 'maxi-min' welfare criterion for intergenerational justice are explored for a simple model in which each generation cares about its own and the next generation's level of consumption. In contrast with the conclusion drawn by Arrow from his narrower formulation of the problem, it is shown that the Rawlsian criterion need not preclude long run capital accumulation. The general forms of the optimal consumption, capital and utility streams are also derived undcr alternative assumptions about the psychic trade-off between own consumption and consumption of one's immediate descendents.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
