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Popular support for egalitarian social welfare

Author

Listed:
  • Rafael Salas

    (Universidad Complutense de Madrid)

  • Juan Gabriel Rodríguez

    (Instituto de Estudios Fiscales and Universidad Rey Juan Carlos)

Abstract

This paper provides a set of sufficient conditions under which the preferences of an egalitarian social decision-maker accord with majority voting. We show that an additive and concave utilitarian social evaluation function is consistent with the outcomes of majority voting if we restrict the class of income distributions to those that are symmetric under strictly increasing and concave transformations. A particular example is the lognormal distribution. We confirm that the required symmetry condition is generally accepted using an illustration for a panel of 116 countries. Moreover, the proposed methodology provides the inequality aversion parameter that is useful in practice and shows that median income is a good proxy for social welfare.

Suggested Citation

  • Rafael Salas & Juan Gabriel Rodríguez, 2010. "Popular support for egalitarian social welfare," Working Papers 171, ECINEQ, Society for the Study of Economic Inequality.
  • Handle: RePEc:inq:inqwps:ecineq2010-171
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    File URL: http://www.ecineq.org/milano/WP/ECINEQ2010-171.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    majority voting; social welfare; symmetric distribution; inequality aversion parameter.;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • H30 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - General
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

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