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Benefit-cost in a Benevolent Society

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Author Info
Ted Bergstrom (University of California, Santa Barbara)

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Abstract

How should benefit-cost analysis account for the value that benevolent individuals place on other people's pleasure from public goods? When adding up the benefits to be compared with costs, should we sum the private valuations, the altruistic valuations, or something else? This paper proposes a partial answer and offers some suggestions for benefit-cost practitioners.

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File URL: http://repositories.cdlib.org/cgi/viewcontent.cgi?article=1183&context=ucsbecon
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Paper provided by Department of Economics, UC Santa Barbara in its series University of California at Santa Barbara, Economics Working Paper Series with number 2004B.

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Date of creation: 03 Jan 2005
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Handle: RePEc:cdl:ucsbec:2004b

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Related research
Keywords: benefit-cost altruism benevolent contingent valuation

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Winter, Sidney Jr., 1969. "A simple remark on the second optimality theorem of welfare economics," Journal of Economic Theory, Elsevier, vol. 1(1), pages 99-103, June. [Downloadable!] (restricted)
  2. Bergstrom, Theodore C, 1999. " Systems of Benevolent Utility Functions," Journal of Public Economic Theory, Association for Public Economic Theory, vol. 1(1), pages 71-100. [Downloadable!] (restricted)
    Other versions:
  3. Jones-Lee, M W, 1991. " Altruism and the Value of Other People's Safety," Journal of Risk and Uncertainty, Springer, vol. 4(2), pages 213-19, April.
  4. Chipman, John S & Moore, James C, 1980. "Compensating Variation, Consumer's Surplus, and Welfare," American Economic Review, American Economic Association, vol. 70(5), pages 933-49, December. [Downloadable!] (restricted)
  5. Bergstrom, Theodore C., 1970. "A "Scandinavian consensus" solution for efficient income distribution among nonmalevolent consumers," Journal of Economic Theory, Elsevier, vol. 2(4), pages 383-398, December. [Downloadable!] (restricted)
    Other versions:
  6. Serge-Christophe Kolm, 2000. "A historical introduction to normative economics," Social Choice and Welfare, Springer, vol. 17(4), pages 707-738. [Downloadable!] (restricted)
  7. Richard T. Carson, 1999. "Contingent Valuation: A User's Guide," University of California at San Diego, Economics Working Paper Series 99-26, Department of Economics, UC San Diego. [Downloadable!]
  8. Ted Bergstrom & Richard Cornes, 1983. "Independence of Allocative Efficiency from Distribution in the Theory of Public Goods," University of California at Santa Barbara, Economics Working Paper Series 1983B, Department of Economics, UC Santa Barbara. [Downloadable!]
    Other versions:
  9. Ted Bergstrom, 1989. "Love and Spaghetti, The Opportunity Cost of Virtue," University of California at Santa Barbara, Economics Working Paper Series 1989B, Department of Economics, UC Santa Barbara. [Downloadable!]
    Other versions:
  10. Ted Bergstrom, 1982. "When is a Man's Life Worth More Than His Human Capital?," University of California at Santa Barbara, Economics Working Paper Series 1982d, Department of Economics, UC Santa Barbara. [Downloadable!]
  11. W. Kip Viscusi & Joseph E. Aldy, 2003. "The Value of a Statistical Life: A Critical Review of Market Estimates throughout the World," NBER Working Papers 9487, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  12. McConnell, K. E., 1997. "Does Altruism Undermine Existence Value?," Journal of Environmental Economics and Management, Elsevier, vol. 32(1), pages 22-37, January. [Downloadable!] (restricted)
  13. Loomis, John B. & White, Douglas S., 1996. "Economic benefits of rare and endangered species: summary and meta-analysis," Ecological Economics, Elsevier, vol. 18(3), pages 197-206, September. [Downloadable!] (restricted)
  14. Hanemann, W Michael, 1994. "Valuing the Environment through Contingent Valuation," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 19-43, Fall. [Downloadable!] (restricted)
  15. Johansson, Per-Olov, 1994. "Altruism and the value of statistical life: Empirical implications," Journal of Health Economics, Elsevier, vol. 13(1), pages 111-118, March. [Downloadable!] (restricted)
  16. Flores, Nicholas E., 2002. "Non-paternalistic altruism and welfare economics," Journal of Public Economics, Elsevier, vol. 83(2), pages 293-305, February. [Downloadable!] (restricted)
  17. Jones-Lee, M W, 1992. "Paternalistic Altruism and the Value of Statistical Life," Economic Journal, Royal Economic Society, vol. 102(410), pages 80-90, January. [Downloadable!] (restricted)
  18. Dickie, Mark & Messman, Victoria L., 2004. "Parental altruism and the value of avoiding acute illness: are kids worth more than parents?," Journal of Environmental Economics and Management, Elsevier, vol. 48(3), pages 1146-1174, November. [Downloadable!] (restricted)
  19. Jones-Lee, M W & Hammerton, M & Philips, P R, 1985. "The Value of Safety: Results of a National Sample Survey," Economic Journal, Royal Economic Society, vol. 95(377), pages 49-72, March. [Downloadable!] (restricted)
  20. G. C. Archibald & David Donaldson, 1976. "Non-Paternalism and the Basic Theorems of Welfare Economics," Canadian Journal of Economics, Canadian Economics Association, vol. 9(3), pages 492-507, August. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Wolfgang Buchholz & Wolfgang Peters, 2007. "Equal Sacrifice and Fair Burden Sharing in a Public Goods Economy," CESifo Working Paper Series CESifo Working Paper No. , CESifo GmbH. [Downloadable!]
  2. Javier Birchenall & Rodrigo Reis Soares, 2007. "Altruism, Fertility, and the Value of Children: Health Policy Evaluation and Intergenerational Welfare," Textos para discussão 537, Department of Economics PUC-Rio (Brazil). [Downloadable!]
    Other versions:
  3. Sherman Folland, 2006. "Value of life and behavior toward health risks: an interpretation of social capital," Health Economics, John Wiley & Sons, Ltd., vol. 15(2), pages 159-171. [Downloadable!]
  4. Sung Ha Hwang & Samuel Bowles, 2008. "Is altruism bad for cooperation?," Working Papers 2008-13, University of Massachusetts Amherst, Department of Economics. [Downloadable!]
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