@article{Kopp:10745, recid = {10745}, author = {Kopp, Raymond J. and Portney, Paul R.}, title = {Mock Referenda for Intergenerational Decision-making}, address = {1997}, number = {1318-2016-103149}, series = {Discussion Paper 97-48}, pages = {20}, year = {1997}, abstract = {Traditional applications of benefit-cost analysis make use of what we refer to as the "damage function and discounting" (or DFD) approach. This approach is well-suited to the analysis of projects for which the principal benefits and costs occur within the next thirty to forty years, say. However, for projects with significant intergenerational consequences--i.e., impacts that do not arise for hundreds of years or more--the DFD approach becomes almost intractable. We propose an alternative conception of benefit-cost analysis for intergenerational decision-making--the mock referendum--that is: (i) arguably more consistent with the tenets of modern welfare economics; (ii) more amenable to the analysis of long-term projects or policies; and (iii) consistent with political decision(s) that must be made if climate mitigation (or other long-term environmental protection) measures are to be taken.}, url = {http://ageconsearch.umn.edu/record/10745}, doi = {https://doi.org/10.22004/ag.econ.10745}, }