Bommier, Antoine; Lanz, Bruno; Zuber, Stéphane - Centre d'Économie de la Sorbonne, Université Paris 1 … - 2014
We study the role of alternative intertemporal preference representations in a model of economic growth, stock pollutant and endogenous risk of catastrophic collapse. We contrast the traditional “discounted utility” model, which assumes risk neutrality with respect to intertemporal utility,...