Who Counts as Young? Matching Rules for Social Discounting (opens in new tab)

In heterogeneous OLG economies, age alone does not tell us who counts as young or old in a local welfare comparison. For such a comparison to have normative content, it must specify the represented margin, the private unit of account, the current information that identifies the relevant cell, and the common support over which claims are made. This paper provides that discipline. It separates raw resource weights from residual weights expressed i...