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A model of social welfare improving transfers

Abstract : We establish an equivalence theorem between (i) dominance of one society by another, according to a finite sequence of social welfare improving transfers and (ii) dominance according to a class of social welfare functions, in the following framework: individual outcomes are multidimensional but finitely divisible in each dimension, a distribution simply counts the number of individuals having each possible outcome, and the considered set of transfers has the structure of a discrete cone. This framework encompasses most of the social welfare improving transfers investigated in the literature such as, for instance, Pigou-Dalton progressive transfers. As by-products, our model sheds new light on some surprising results in the literature on social deprivation, and provides new arguments on the key role of the expected utility model in decision-making under risk.
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Contributor : Laurent Garnier <>
Submitted on : Wednesday, April 24, 2019 - 11:58:14 AM
Last modification on : Thursday, July 2, 2020 - 2:36:16 PM


  • HAL Id : halshs-02108590, version 1



Brice Magdalou. A model of social welfare improving transfers. Eighth ECINEQ Meeting 2019, Society for the Study of Economic Inequality, Jul 2019, Paris, France. ⟨halshs-02108590⟩



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