Stationary altruism and time consistency

A-Tier
Journal: Journal of Economic Theory
Year: 2025
Volume: 228
Issue: C

Authors (2)

Billot, Antoine (not in RePEc) Qu, Xiangyu (Université Paris-Saclay)

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We study social intertemporal preferences constructed through the aggregation of individual preferences that differ in both time discounting and instantaneous utility. We introduce weakened forms of the Pareto condition under which the social discount and instantaneous utility functions are weighted averages of their individual counterparts. We show that if individuals are time-consistent, then society can only preserve this property without falling into dictatorship by applying the condition to comparisons involving only two periods. In such cases, the social discount factor is a weighted average of individual discount factors. When the condition is applied to longer consumption horizons, the resulting social preferences display decreasing impatience. Moreover, the longer the comparison horizon, the stronger the society's preference for patience over time becomes, under mild conditions.

Technical Details

RePEc Handle
repec:eee:jetheo:v:228:y:2025:i:c:s0022053125000845
Journal Field
Theory
Author Count
2
Added to Database
2026-01-29