Impossibilities of Paretian Social Welfare Functions for Infinite Utility Streams with Distributive Equity
This paper examines the logical relationship between distributive equity and efficiency in aggregating infinite utility streams. Our main results show that there exist social welfare functions which satisfy the axioms of Pigou-Dalton Transfer Principle and a weak version of efficiency, but there exists no social welfare function which satisfies all of the distributive equity requirements and Weak Pareto Principle at the same time. Thus, we can prove that no Paretian ranking can satisfy the numerical representability and all of the distributive equity properties in the setting of intertemporal social choice.
|Date of creation:||Aug 2011|
|Date of revision:|
|Note:||This Version: August, 2011|
|Contact details of provider:|| Phone: +81-42-580-8000|
Web page: http://www.econ.hit-u.ac.jp/
More information through EDIRC
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.:
- Luc Lauwers, 1997. "Continuity and equity with infinite horizons," Social Choice and Welfare, Springer, vol. 14(2), pages 345-356.
- Hara, Chiaki & Shinotsuka, Tomoichi & Suzumura, Kotaro & Xu, Yongsheng, 2007. "On the Possibility of Continuous, Paretian and Egalitarian Evaluation of Infinite Utility Streams," Discussion Paper 322, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University.
- Alcantud, José Carlos R. & García-Sanz, María D., 2010.
"Evaluations of infinite utility streams: Pareto-efficient and egalitarian axiomatics,"
20133, University Library of Munich, Germany.
- José Carlos R. Alcantud & María D. García-Sanz, 2013. "Evaluations of Infinite Utility Streams: Pareto Efficient and Egalitarian Axiomatics," Metroeconomica, Wiley Blackwell, vol. 64(3), pages 432-447, 07.
- Geir Asheim & Bertil Tungodden, 2004. "Resolving distributional conflicts between generations," Economic Theory, Springer, vol. 24(1), pages 221-230, 07.
- FLEURBAEY, Marc & MICHEL, Philippe, 1997.
"Intertemporal equity and the extension of the Ramsey criterion,"
CORE Discussion Papers
1997004, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Fleurbaey, Marc & Michel, Philippe, 2003. "Intertemporal equity and the extension of the Ramsey criterion," Journal of Mathematical Economics, Elsevier, vol. 39(7), pages 777-802, September.
- M. Fleurbaey & P. Michel, 1997. "Intertemporal equity and the extension of the Ramsey criterion," THEMA Working Papers 97-11, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
- Geir B. Asheim, 2010. "Intergenerational Equity," Annual Review of Economics, Annual Reviews, vol. 2(1), pages 197-222, 09.
- Asheim, Geir B. & Tungodden, Bertil, 2005. "A new equity condition for infinite utility streams and the possibility of being Paretian," Memorandum 08/2005, Oslo University, Department of Economics.
- Toyotaka Sakai, 2006. "Equitable Intergenerational Preferences on Restricted Domains," Social Choice and Welfare, Springer, vol. 27(1), pages 41-54, August.
- Svensson, Lars-Gunnar, 1980. "Equity among Generations," Econometrica, Econometric Society, vol. 48(5), pages 1251-56, July.
- Fleurbaey, Marc & Michel, Philippe, 2001. "Transfer principles and inequality aversion, with an application to optimal growth," Mathematical Social Sciences, Elsevier, vol. 42(1), pages 1-11, July.
- Alcantud, José Carlos R., 2010. "The compromise efficiency vs. egalitarianism among generations with an infinite horizon," MPRA Paper 22284, University Library of Munich, Germany.
- Alcantud, José Carlos R., 2012.
"Inequality averse criteria for evaluating infinite utility streams: The impossibility of Weak Pareto,"
Journal of Economic Theory,
Elsevier, vol. 147(1), pages 353-363.
- Alcantud, José Carlos R., 2010. "Inequality averse criteria for evaluating infinite utility streams: The impossibility of Weak Pareto," MPRA Paper 27618, University Library of Munich, Germany.
- Toyotaka Sakai, 2003. "An axiomatic approach to intergenerational equity," Social Choice and Welfare, Springer, vol. 20(1), pages 167-176.
When requesting a correction, please mention this item's handle: RePEc:hit:econdp:2011-09. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Digital Resources Section, Hitotsubashi University Library)
If references are entirely missing, you can add them using this form.