EQUIVALENCE VERSUS INDIFFERENCE SCALES

作者:Chiappori Pierre Andre
来源:Economic Journal, 2016, 126(592): 523-545.
DOI:10.1111/ecoj.12371

摘要

Comparing income levels across families with different composition is a central issue for most welfare indicators and policies. Currently, the dominant method relies on income-based equivalence scales, which raise a host of theoretical, empirical and normative difficulties. However, a new approach, based on the notion of indifference scales, avoids most of these problems, while leading to empirically tractable estimation methods. I submit that time has come to abandon the traditional view in favour of the new concept.

  • 出版日期2016-5