What is welfare criterion?

Often called Pareto optimality, Pareto unanimity rule, Paretian optimum, social or general optimum, the Paretian criterion states that welfare is said to increase (or decrease) if at least one person is made better off (or worse off) with no change in the positions of others.

What is Bergson criterion?

In welfare economics, a social welfare function is a function that ranks social states (alternative complete descriptions of the society) as less desirable, more desirable, or indifferent for every possible pair of social states.

What is Paretian concept of social welfare?

From the Paretian concept of social optimum follows his criterion for judging an increase or decrease in welfare. Since the criterion requires that there should be unanimity among individuals about the maintenance of the condition in which welfare has increased, it is also called “Pareto’s Unanimity Rule”.

Who is the founder of the Scitovsky criterion?

Scitovsky pointed out that to get at the correct criterion of welfare we must remove this contradiction. He has therefore offered his own criterion called the “Scitovsky Double criterion”. The Scitovsky criterion was developed by Tibor Scitovsky in his paper “A Note on Welfare Propositions in Economics”, 1941.

What did Scitovsky call the double criterion of welfare?

This contradiction has been called the ‘Scitovsky Paradox’. Scitovsky pointed out that to get at the correct criterion of welfare we must remove this contradiction. He has therefore offered his own criterion called the “Scitovsky Double criterion”.

What was the double test of Scitovsky and Kaldor?

Scitovsky wanted an economic change to satisfy double test-the fulfillment of Kaldor-Hicks test plus the non-fulfillment of the reversal test. This means, that a movement from state A to state B must be desirable in terms of the Kaldor-Hicks criteria but a return from B to A should not be an improvement on these criteria.

Who is the founder of the double criterion?

He has therefore offered his own criterion called the “Scitovsky Double criterion”. The Scitovsky criterion was developed by Tibor Scitovsky in his paper “A Note on Welfare Propositions in Economics”, 1941. Scitovsky (1976). The Joyless Economy: An Inquiry into Human Satisfaction and Consumer Dissatisfaction. Oxford. ISBN 0-19-507347-9.