The notion of diminishing marginal value had a profound impact on the development of neoclassical theory. Early neoclassical scholars had difficulty convincing contemporaries of the new paradigm's value until political economists used the critical assumption of diminishing marginal value to link...

Clear Skies is an economist's approach to pollution reduction. We heartily endorse its core approach, while recommending surgery for a few minor blemishes.

Intertemporal choice has obvious similarities with choice under uncertainty. However, because of technical difficulties in mapping results between the two domains, theoretical analysis of these topics has proceeded independently. In this article, we show that, using Rank Dependent Expected...

The notion of diminishing marginal value had a profound impact on the development of neoclassical theory. Early neoclassical scholars had difficulty convincing contemporaries of the new paradigm’s value until political economists used the critical assumption of diminishing marginal value...

Agriculture is a source of greenhouse gas emissions that could be included as offsets in a cap-and-trade system. This paper describes offset rules that could be applied to reduced nitrogen fertilizer application on wheat, a source of nitrous oxide emissions. Unlike other papers that have...

This paper uses a lottery-choice mechanism to measure farmer preferences over money-denominated risks. We look at the ability of these choice data to predict farming decisions for an in-person sample of 68 farmers. A coarse version of our risk preference measure has substantial explanatory power...

The notion of diminishing marginal value had a profound impact on the development of neoclassical theory. Early neoclassical scholars had difficulty convincing contemporaries of the new paradigm's value until political economists used the critical assumption of diminishing marginal value to link...

Weitzman's (2009) famous dismal theorem argues that “fat tails” in the distribution of warming may pose problems for cost–benefit analysis as it may imply that society might be willing to exchange today's consumption for future consumption at an infinite rate. His analysis is based on the...