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The Welfare Evaluation of Primary Goods: A Suggestion

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  • Villar, Antonio

    (Department of Economics, University of Alicante)

Abstract

This paper presents a characterization of a welfare index for the evaluation of primary goods (to be understood as those goods that all agents should enjoy equally). The welfare associated with a given distribution of n primary goods among m agents is measured as the sum of n real-valued functions, one for each good, which are increasing in the aggregate consumption and decreasing in its dispersion (measured by Theil's first inequality index).

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File URL: http://www.ihs.ac.at/publications/eco/es-98.pdf
File Function: First version, 2001
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Bibliographic Info

Paper provided by Institute for Advanced Studies in its series Economics Series with number 98.

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Length: 14 pages
Date of creation: Mar 2001
Date of revision:
Handle: RePEc:ihs:ihsesp:98

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Postal: Institute for Advanced Studies - Library, Stumpergasse 56, A-1060 Vienna, Austria

Related research

Keywords: Welfare evaluation; Inequality; Primary goods;

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References

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  1. Carmen Herrero, 1996. "Capabilities and utilities," Review of Economic Design, Springer, vol. 2(1), pages 69-88, December.
  2. Foster, James E., 1983. "An axiomatic characterization of the Theil measure of income inequality," Journal of Economic Theory, Elsevier, vol. 31(1), pages 105-121, October.
  3. Bourguignon, Francois, 1979. "Decomposable Income Inequality Measures," Econometrica, Econometric Society, vol. 47(4), pages 901-20, July.
  4. Sen, Amartya, 1979. "The Welfare Basis of Real Income Comparisons: A Survey," Journal of Economic Literature, American Economic Association, vol. 17(1), pages 1-45, March.
  5. Chakravarty, Satya R. & Dutta, Bhaskar, 1990. "Migration and welfare," European Journal of Political Economy, Elsevier, vol. 6(1), pages 119-138, August.
  6. Cowell, Frank A. & Kuga, Kiyoshi, 1981. "Additivity and the entropy concept: An axiomatic approach to inequality measurement," Journal of Economic Theory, Elsevier, vol. 25(1), pages 131-143, August.
  7. Javier Ruiz-Castillo, 1995. "Income distribution and social welfare: a review essay," Investigaciones Economicas, Fundación SEPI, vol. 19(1), pages 3-34, January.
  8. Sen, Amartya K, 1976. "Real National Income," Review of Economic Studies, Wiley Blackwell, vol. 43(1), pages 19-39, February.
  9. Blackorby, Charles & Donaldson, David, 1978. "Measures of relative equality and their meaning in terms of social welfare," Journal of Economic Theory, Elsevier, vol. 18(1), pages 59-80, June.
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