Public transfers and redistribution create an important part of income distribution and are a major issue for politics and social ethics, and hence for public economics and normative economics. The criterion of unanimity of well-considered judgments (endogenous social choice) shows what the solution should be. Overall distributive justice in macrojustice thus shows the necessary allocation of the main resources, which results from the basic rights (or social freedom) and Pareto efficiency. It concerns the reallocation of the values of individuals’ productive capacities. The result amounts to an equalization of individuals’ incomes for the same “equalization labour”, or to each yielding to each other the product of the same labour. This notional “equalization labour” is a degree of redistribution, equalization, solidarity, patrimonial community and reciprocity, and also a de facto minimum income as a fraction of average income. It is determined by the general methods of endogenous social choice.
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Paper provided by Institut d'economie publique (IDEP), Marseille, France in its series IDEP Working Papers with number
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BARBERA, Salvador & BOSSERT, Walter & PATTANAIK, Prasanta K., 2001.
"Ranking Sets of Objects,"
Cahiers de recherche
2001-02, Universite de Montreal, Departement de sciences economiques.
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Gaertner, Wulf & Pattanaik, Prasanta K & Suzumura, Kotaro, 1992.
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