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| Autores principales: | , |
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| Formato: | Preprint |
| Publicado: |
2024
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| Materias: | |
| Acceso en línea: | https://arxiv.org/abs/2409.15978 |
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| _version_ | 1866918348535627776 |
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| author | Nakano, Satoshi Nishimura, Kazuhiko |
| author_facet | Nakano, Satoshi Nishimura, Kazuhiko |
| contents | Standard optimal growth models implicitly impose a ``perpetual existence'' constraint, which can ethically justify infinite misery in stagnant economies. This paper investigates the optimal longevity of a dynasty within a Critical-Level Utilitarian (CLU) framework. By treating the planning horizon as an endogenous choice variable, we establish a structural isomorphism between static population ethics and dynamic growth theory. Our analysis derives closed-form solutions for optimal consumption and longevity in a roundabout production economy. We show that under low productivity, a finite horizon is structurally optimal to avoid the creation of lives not worth living. This result suggests that the termination of a dynasty can be interpreted not as a failure of sustainability, but as an {altruistic termination} to prevent intergenerational suffering. We also highlight an ethical asymmetry: while a finite horizon is optimal for declining economies, growing economies under intergenerational equity demand the ultimate sacrifice from the current generation. |
| format | Preprint |
| id |
arxiv_https___arxiv_org_abs_2409_15978 |
| institution | arXiv |
| publishDate | 2024 |
| record_format | arxiv |
| spellingShingle | Optimal longevity of a dynasty Nakano, Satoshi Nishimura, Kazuhiko General Economics Economics Standard optimal growth models implicitly impose a ``perpetual existence'' constraint, which can ethically justify infinite misery in stagnant economies. This paper investigates the optimal longevity of a dynasty within a Critical-Level Utilitarian (CLU) framework. By treating the planning horizon as an endogenous choice variable, we establish a structural isomorphism between static population ethics and dynamic growth theory. Our analysis derives closed-form solutions for optimal consumption and longevity in a roundabout production economy. We show that under low productivity, a finite horizon is structurally optimal to avoid the creation of lives not worth living. This result suggests that the termination of a dynasty can be interpreted not as a failure of sustainability, but as an {altruistic termination} to prevent intergenerational suffering. We also highlight an ethical asymmetry: while a finite horizon is optimal for declining economies, growing economies under intergenerational equity demand the ultimate sacrifice from the current generation. |
| title | Optimal longevity of a dynasty |
| topic | General Economics Economics |
| url | https://arxiv.org/abs/2409.15978 |