Renström, T.I. and Spataro, L. (2011) 'The optimum growth rate for population under critical-level utilitarianism.', Journal of population economics., 24 (3). pp. 1181-1201.
We characterize optimal consumption, capital, and population growth of a production economy under critical-level utilitarianism. First, we show that neither classical utilitarianism nor average utilitarianism can avoid a corner solution for the population growth rate, in that under the former, population grows at the maximum speed (the so-called repugnant conclusion) while under the latter, it grows at the minimum. Second, we show that critical level utilitarianism yields an interior solution for the population growth rate provided the critical level belongs to a positive, open interval. Finally, we characterize the transition to the steady state and perform comparative dynamics analysis.
|Keywords:||Critical-level utilitarianism, Economic growth, Population.|
|Full text:||(AM) Accepted Manuscript|
Download PDF (648Kb)
|Publisher Web site:||http://dx.doi.org/10.1007/s00148-010-0348-2|
|Publisher statement:||The original publication is available at www.springerlink.com|
|Date accepted:||No date available|
|Date deposited:||19 July 2011|
|Date of first online publication:||July 2011|
|Date first made open access:||No date available|
Save or Share this output
|Look up in GoogleScholar|