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Compensating the dead

Author

Listed:
  • FLEURBAEY, Marc
  • LEROUX, Marie-Louise
  • PONTHIERE, Gregory

Abstract

An early death is, undoubtedly, a serious disadvantage. However, the compensation of short-lived individuals has remained so far largely unexplored, probably because it appears infeasible. Indeed, short-lived agents can hardly be identified ex ante, and cannot be compensated ex post. We argue that, despite those difficulties, a compensation can be carried out by encouraging early consumption in the life cycle. In a model with heterogeneous preferences and longevities, we show how a specific social criterion can be derived from intuitive principles, and we study the corresponding optimal policy under various informational assumptions.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • FLEURBAEY, Marc & LEROUX, Marie-Louise & PONTHIERE, Gregory, 2014. "Compensating the dead," LIDAM Reprints CORE 2589, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
  • Handle: RePEc:cor:louvrp:2589
    Note: In : Journal of Mathematical Economics, 51, 28-41, 2014
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    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • J18 - Labor and Demographic Economics - - Demographic Economics - - - Public Policy

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