Radner’s cost–benefit analysis in the small: An equivalence result
AbstractI show that local changes in five welfare measures are equal: a measure proposed by Radner (1993); consumers’ surplus; the Slutsky change in real wealth; the Divisia quantity index, and Debreu’s (1951) coefficient of resource utilization (the last two rescaled in units of a numeraire good).
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Bibliographic InfoArticle provided by Elsevier in its journal Economics Letters.
Volume (Year): 120 (2013)
Issue (Month): 3 ()
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Web page: http://www.elsevier.com/locate/ecolet
Local cost–benefit analysis; Consumers’ surplus; Divisia index; Slutsky compensation; Coefficient of resource utilization;
Find related papers by JEL classification:
- D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
- D8 - Microeconomics - - Information, Knowledge, and Uncertainty
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