A consistent multidimensional Pigou-Dalton transfer principle

• 成果类型: Article
• 署名作者: Bosmans, Kristof; Lauwers, Luc; Ooghe, Erwin
• 署名单位: KU Leuven; Maastricht University
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2009.01.003
• 发表日期: 2009
• 页码: 1358-1371
• 关键词: Pigou-Dalton principle; Multidimensional inequality measurement; Majorization; Budget dominance; needs; Equivalence scale

摘要

The unidimensional Pigou-Dalton transfer principle demands that a regressive transfer in income-a transfer from worse-off (poor) to better-off (rich)-decreases social welfare. In a multidimensional setting the direct link between income (or any other attribute) and individual well-being is absent. We interpret the social welfare level of a distribution in which each individual has the same bundle as the individual wellbeing level. We define regressivity on the basis of this individual well-being ranking. In a setting with both transferable and non-transferable attributes, the imposition of the ensuing consistent Pigou-Dalton principle forces individual well-being to have a quasi-linear structure in the transferable attributes. Since we allow for transferable and non-transferable attributes, our result provides a normative underpinning for criteria in the distinct literatures of multidimensional inequality measurement (only transferable attributes) and of needs (one transferable and one non-transferable attribute). (C) 2009 Elsevier Inc. All rights reserved.