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Learning and Irreversibility: An Econmic Interpretation of the "Precautionnary Principle"

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Author Info

  • Gollier, C.
  • Jullien, B.
  • Treich, N.

Abstract

We consider the problem of the optimal use of a good whose consumption can produce damages in the future. Potential damages are proportional to the accumulated lifetimeconsumption of the good. Scientific progress is made over time that provides information on the distribution of the intensity of potential damages.

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Bibliographic Info

Paper provided by Toulouse - GREMAQ in its series Papers with number 97.470.

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Length: 24 pages
Date of creation: 1997
Date of revision:
Handle: RePEc:fth:gremaq:97.470

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Postal: GREMAQ, Universite de Toulouse I Place Anatole France 31042 - Toulouse CEDEX France.
Phone: 05.61.62.85.56
Fax: 05 61 22 55 63
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Web page: http://www-gremaq.univ-tlse1.fr/
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Related research

Keywords: RISK ; SAVINGS ; ENVIRONMENT;

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Cited by:
  1. JOUVET, Pierre-André, 1998. "Voluntary contributions with uncertainty: the environmental quality," CORE Discussion Papers 1998020, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  2. Sweder van Wijnbergen & Tim Willems, 2012. "Optimal Learning on Climate Change: Why Climate Skeptics should reduce Emissions," Tinbergen Institute Discussion Papers 12-085/2, Tinbergen Institute.
  3. repec:hal:wpaper:halshs-00575067 is not listed on IDEAS
  4. Anastasios Xepapadeas, . "The Cost of Ambiguity and Robustness in International Pollution Control," DEOS Working Papers 1101, Athens University of Economics and Business.

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