Abstract
The most prevalent welfare criteria for quasi-hyperbolic discounting models are the Pareto criterion that takes into account all periods' intertemporal utilities and the long-run perspective criterion that considers the intertemporal utility in fictitious period 0. This paper shows that efficiency by the Pareto criterion implies efficiency by the long-run criterion.
Original language | English |
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Pages (from-to) | 1-7 |
Number of pages | 7 |
Journal | Economics Bulletin |
Volume | 35 |
Issue number | 4 |
Publication status | Published - 2015 |
Externally published | Yes |
Bibliographical note
Publisher Copyright:© 2019, Economics Bulletin.
ASJC Scopus subject areas
- General Economics,Econometrics and Finance