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Indexical utility : another rationalization of exponential discounting

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2024

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Economics and Philosophy. Cambridge University Press (CUP). ISSN 0266-2671. eISSN 1474-0028. Verfügbar unter: doi: 10.1017/s0266267124000129

Zusammenfassung

This paper is about time preferences, the phenomenon that the very same things are usually considered the less valuable the farther in the future they are obtained. The utilities of those things are discounted at a certain rate. The paper presents a novel normative argument for exponential discount rates, whatever their empirical adequacy. It proposes to take indexical utility seriously, i.e. utilities referring to indexical propositions (that speak of ‘I’, ‘now’, etc.) as opposed to non-indexical propositions. Economic focus is only on the latter, while the former are neglected. The potential ignorance of when is now generates a difference between indexical and non-indexical utility that can be exploited for a novel argument in favour of exponential discount rates.

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100 Philosophie

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Time preferences indexical utility exponential discounting, uncertainty about time

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ISO 690SPOHN, Wolfgang, 2024. Indexical utility : another rationalization of exponential discounting. In: Economics and Philosophy. Cambridge University Press (CUP). ISSN 0266-2671. eISSN 1474-0028. Verfügbar unter: doi: 10.1017/s0266267124000129
BibTex
@article{Spohn2024-03-22Index-69696,
  year={2024},
  doi={10.1017/s0266267124000129},
  title={Indexical utility : another rationalization of exponential discounting},
  issn={0266-2671},
  journal={Economics and Philosophy},
  author={Spohn, Wolfgang}
}
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