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Assessing Parfit’s Repugnant Conclusion within a canonical endogenous growth set-up

Author

Listed:
  • Raouf Boucekkine

    (GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique)

  • Giorgio Fabbri

    (PARTHENOPE - Università degli Studi di Napoli “Parthenope” = University of Naples)

Abstract

Parfit's Repugnant Conclusion stipulates that under total utilitarianism, it might be optimal to choose increasing population size while consumption per capita goes to zero. We evaluate this claim within a canonical AK model with endogenous population size and a reduced form relationship between demographic and economic growth. First we characterize the optimal solution paths for any capital dilution function. Second, we prove that while the Repugnant Conclusion can never occur for realistic values of intertemporal substitution in the traditional linear dilution model, it does occur when population growth is linked to economic growth via an inverted U-shaped relationship. Copyright Springer-Verlag 2013

Suggested Citation

  • Raouf Boucekkine & Giorgio Fabbri, 2013. "Assessing Parfit’s Repugnant Conclusion within a canonical endogenous growth set-up," Post-Print hal-01498245, HAL.
    • Handle: RePEc:hal:journl:hal-01498245
    DOI: 10.1007/s00148-011-0384-6
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    Cited by:

    1. Pérez-Nievas, Mikel & Conde-Ruiz, José I. & Giménez, Eduardo L., 2019. "Efficiency and endogenous fertility," Theoretical Economics, Econometric Society, vol. 14(2), May.
    2. Boucekkine, R. & Fabbri, G. & Federico, S. & Gozzi, F., 2020. "Control theory in infinite dimension for the optimal location of economic activity: The role of social welfare function," Working Papers 2020-02, Grenoble Applied Economics Laboratory (GAEL).
    3. Diwakar Bharat & Sorek Gilad, 2017. "Human-capital spillover, population and R&D-based growth," The B.E. Journal of Macroeconomics, De Gruyter, vol. 17(1), pages 1-17, January.
    4. Gregory Ponthiere, 2016. "Utilitarian population ethics and births timing," Journal of Economics, Springer, vol. 117(3), pages 189-238, April.
    5. Boucekkine, R. & Fabbri, G. & Gozzi, F., 2014. "Egalitarianism under population change: Age structure does matter," Journal of Mathematical Economics, Elsevier, vol. 55(C), pages 86-100.
    6. Simone Marsiglio, 2017. "A simple endogenous growth model with endogenous fertility and environmental concern," Scottish Journal of Political Economy, Scottish Economic Society, vol. 64(3), pages 263-282, July.
    7. Marsiglio, Simone, 2014. "Reassessing Edgeworth’s conjecture when population dynamics is stochastic," Journal of Macroeconomics, Elsevier, vol. 42(C), pages 130-140.
    8. Raouf Boucekkine & Blanca Martínez & J. Ramon Ruiz-Tamarit, 2018. "Optimal Population Growth as an Endogenous Discounting Problem: The Ramsey Case," Lecture Notes in Economics and Mathematical Systems, in: Gustav Feichtinger & Raimund M. Kovacevic & Gernot Tragler (ed.), Control Systems and Mathematical Methods in Economics, pages 321-347, Springer.
    9. Stelter, Robert, 2014. "Over-aging: Are present human populations too old?," Thuenen-Series of Applied Economic Theory 137, University of Rostock, Institute of Economics.
    10. repec:rim:rimwps:24-05 is not listed on IDEAS
    11. Giorgio Fabbri & Raouf Boucekkiney & Fausto Gozzi, 2012. "Egalitarism Under Population Change: the Role of Growth and Lifetime Span," DEGIT Conference Papers c017_007, DEGIT, Dynamics, Economic Growth, and International Trade.
    12. Raouf Boucekkine & Giorgio Fabbri & Salvatore Federico & Fausto Gozzi, 2020. "Optimal location of economic activity and population density: The role of the social welfare function," Working Papers halshs-02472772, HAL.
    13. Boucekkine, R. & Martínez, B. & Ruiz-Tamarit, J.R., 2013. "Growth vs. level effect of population change on economic development: An inspection into human-capital-related mechanisms," Journal of Mathematical Economics, Elsevier, vol. 49(4), pages 312-334.
    14. Spears, Dean & Budolfson, Mark, 2019. "Why Variable-Population Social Orderings Cannot Escape the Repugnant Conclusion: Proofs and Implications," IZA Discussion Papers 12668, Institute of Labor Economics (IZA).
    15. Raouf Boucekkine & Giorgio Fabbri & Fausto Gozzi, 2010. "Life span and the problem of optimal population size," Working Papers halshs-00536073, HAL.
    16. Nicholas Lawson & Dean Spears, 2018. "Optimal population and exhaustible resource constraints," Journal of Population Economics, Springer;European Society for Population Economics, vol. 31(1), pages 295-335, January.
    17. Boucekkine, R. & Fabbri, G. & Federico, S. & Gozzi, F., 2020. "Control theory in infinite dimension for the optimal location of economic activity: The role of social welfare function," Working Papers 2020-02, Grenoble Applied Economics Laboratory (GAEL).
    18. Bharat Diwakar & Gilad Sorek, 2016. "Human-Capital Spillover, Population, and Economic Growth," Auburn Economics Working Paper Series auwp2016-02, Department of Economics, Auburn University.
    19. Wongboonsin, Kua & Phiromswad, Piyachart, 2017. "Searching for empirical linkages between demographic structure and economic growth," Economic Modelling, Elsevier, vol. 60(C), pages 364-379.
    20. Stelter, Robert, 2016. "Over-aging — Are present-day human populations too old?," Mathematical Social Sciences, Elsevier, vol. 82(C), pages 116-143.
    21. Dean Spears & Mark Budolfson, 2021. "Repugnant conclusions," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 57(3), pages 567-588, October.
    22. Kohei Kamaga, 2016. "Infinite-horizon social evaluation with variable population size," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 47(1), pages 207-232, June.
    23. Cinzia Colapinto & Danilo Liuzzi & Simone Marsiglio, 2017. "Sustainability and intertemporal equity: a multicriteria approach," Annals of Operations Research, Springer, vol. 251(1), pages 271-284, April.
    24. Alberto Bucci, 2015. "Product Proliferation, Population, and Economic Growth," Journal of Human Capital, University of Chicago Press, vol. 9(2), pages 170-197.

    More about this item

    Keywords

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    JEL classification:

    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
    • I20 - Health, Education, and Welfare - - Education - - - General
    • J10 - Labor and Demographic Economics - - Demographic Economics - - - General

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