IF summary

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What type of agreement typically involves fewer countries but higher commitment levels?

Informal agreements

Soft agreements

Very strict agreements (correct)

Temporary agreements

What issue do binding agreements help address in the context of climate change?

The free-riding problem (correct)

Resource depletion

Overpopulation

Poor international communication

In the context of emission games, how do countries play if they sign the agreement?

By forming temporary alliances only during negotiations

As individual entities competing against each other

As part of a coalition with collective payoffs

As a single player dividing the payoff based on a burden-sharing rule (correct)

What characterizes a profitable coalition in the context of non-cooperative game theory?

Each country gains from joining the coalition Signup and view all the answers

What type of game is described as not being a prisoners dilemma but resembles a chicken game?

Non-cooperative game Signup and view all the answers

What does a small social discount rate (SDR) indicate about valuing future generations?

Future generations are valued more than present consumption. Signup and view all the answers

What is the primary function of the social discount rate (SDR) in project evaluation?

To convert future costs and benefits into current value. Signup and view all the answers

Which perspective does Stern advocate regarding the appropriate social discount rate (SDR)?

A normative stand with a low SDR of 1.4%. Signup and view all the answers

What is one argument against discounting future benefits entirely?

Discounting may not accurately reflect the value of future consumption. Signup and view all the answers

Which factor is NOT typically considered when determining the appropriate SDR?

Historical performance of specific investments. Signup and view all the answers

What does the repugnant conclusion suggest about population welfare?

A larger population with lives barely worth living can be seen as socially better. Signup and view all the answers

According to the sadistic conclusion, what is the implication of adding individuals to the population?

Adding a few people with lives not worth living may be preferable over adding many who do. Signup and view all the answers

How does total utilitarianism differ from average utilitarianism in population ethics?

Total utilitarianism prioritizes overall well-being irrespective of individual outcomes. Signup and view all the answers

What is implied by the mere addition principle in the context of population ethics?

The addition of individuals, even with low utility, can be justified if total welfare increases. Signup and view all the answers

In the context of International Environmental Agreements (IEA), what major obstacle is identified?

The ability to punish non-compliant countries effectively. Signup and view all the answers

What is the main problem associated with choosing in the context of social decision-making?

It simplifies the complexities of ranking. Signup and view all the answers

What is Diamond's significant contribution related to social welfare functions?

He demonstrates the impossibility of a social welfare function satisfying efficiency and finite anonymity. Signup and view all the answers

Which of the following best describes utilitarianism in the context of ranking?

It is exclusive to ranking alternatives. Signup and view all the answers

Which property of social welfare functions ensures consistent preference ordering?

Transitivity ensures preferences are consistent. Signup and view all the answers

What does Koopmans focus on when deriving the utility function for each generation?

Inverting the analysis based on the planner's preference axioms. Signup and view all the answers

Which of the following represents the concept of 'continuity' in intertemporal preferences?

Small variations in consumption streams lead to modest changes in social welfare. Signup and view all the answers

What does the concept of anonymity imply in the context of intergenerational consumption?

The identity of generations does not affect resource distribution. Signup and view all the answers

What does the concept of sensitivity imply regarding intertemporal preferences?

The level of first-generation consumption is crucial for determining welfare. Signup and view all the answers

Why is it argued that sharing a non-renewable resource cannot be both egalitarian and sufficient?

Because finite resources cannot sustainably meet the needs of unlimited generations. Signup and view all the answers

In which scenario does efficiency fail, based on the axiomatic approach to intergenerational resource allocation?

When some generations' consumptions are deemed irrelevant. Signup and view all the answers

Which concept requires that inequality attitudes between periods are independent of other periods?

Non-complementarity Signup and view all the answers

What does the Gini coefficient measure?

Inequality within a frequency distribution. Signup and view all the answers

Which approach generates preferences based on choices rather than vice versa?

Choice-based approach. Signup and view all the answers

Which of the following discounting functions violates time consistency?

Hyperbolic discounting Signup and view all the answers

What does the concept of 'continuity' imply for social welfare functions?

Small changes in options should lead to small changes in ranking. Signup and view all the answers

What does boundedness imply in the context of welfare economics?

Growing streams can never be worse than any constant stream. Signup and view all the answers

What does the production-side approach measure in the context of public investment?

The societal cost of public investment against the social cost of public funding Signup and view all the answers

What does the current social value of a project represent in the social welfare function?

The social planner's willingness-to-pay Signup and view all the answers

According to the Ramsey Rule, what is considered when calculating the social discount rate (SDR)?

The time preference for future consumption and the wealth effect Signup and view all the answers

What major disagreement is highlighted in the topic of discounting for future generations?

The ethical implications of valuing future generations' well-being Signup and view all the answers

What argument did Sidgwick make regarding the interests of future generations?

The time of existence should not affect happiness values from a universal point of view Signup and view all the answers

What perspective does Koopmans' argument take about consumption streams in an everlasting world?

There must be a preference ordering over infinite-dimensional consumption streams Signup and view all the answers

What is a criticism against the idea of discounting future generations' benefits?

It may undervalue the future happiness of people Signup and view all the answers

What challenge remains unresolved in discounting practices according to the content?

Finding the perfect social discount rate Signup and view all the answers

Study Notes

Lecture 1: What We Owe the Future

Future population is enormous
Trolley problem applied to future generations
Value of current generations vs. future generations
Future needs are unpredictable
Difficulty in assessing how present choices impact future generations
Inability to quantify future generations' willingness to pay for climate compensation.
Powerful tools available, practical application uncertain
Extinction a possibility with possible disregard for future generations.
Precautionary principle; stronger action if risk is high

Lecture 2: Theories of Intergenerational Justice

Sustainability is crucial
Future needs are paramount
Utilitarianism, decreasing marginal utility + social discount rate
Lockean proviso
Rawlsian principles
Trade-off consideration: steady state vs. ongoing change
Resource distribution ethical considerations

Lecture 3: Efficiency & Chapter 2 of the Stern Review

Societal welfare functions, formal rank and preference ideas.
Social welfare functions for ranking alternatives.
Social welfare functions, for complex situations.
Implications of social welfare functions
Social discount rate (SDR) (consumption in future is less valuable)
Problem of climate change viewed as global externalities.
Local actions are needed for a global problem.
Decreasing marginal utility
Importance of social discounting

Lecture 4: Discounting and Ethical Considerations

Ethical defensibility of discounting future generations
Ethical viewpoints on discounting future generations
Arguments against and for discounting
Ramsey's agreement to discount future generations

Lecture 5: The Ethics of Risk

Risk vs. Uncertainty
Precautionary approach (minimising worst-case/uncertainty)
Risk tolerance varies between people.
Maximising expected utility, despite challenges.
Subjective probabilities
Risk decisions are individual, not just social
Risk as a crucial aspect of decision-making

Lecture 6: Population Axiology

Population ethics, considerations on population size and quality
Policy impacts on population size and welfare
Trade-off between quality and quantity of population
Repugnant conclusion (larger better world without quality), utilitarian perspective.

Lecture 9 & 11: International Environmental Agreements

Difficulty of international cooperation to manage environment issues (lack of a unified enforcement body)
Existence and types of international agreements to address climate change (strict and vague)
Theoretical framework for environmental agreement formation.
Non-cooperative game theory, stages (coalition formation, emission levels), and implications.
Importance of small coalitions for success in environmental agreements, roles of transfers.
Linkage of environmental issues to other policies/incentives for cooperation.
Challenges in designing credible threats in international environmental agreements

Studying That Suits You

Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

Description

Explore the theories of intergenerational justice and the ethical considerations surrounding our responsibilities to future generations. This quiz covers key concepts such as sustainability, utilitarianism, and the implications of our current choices on future populations. Understand how these theories can guide our actions today for a better tomorrow.