Empirical welfare analysis : when preferences matter
Carpantier, Jean-François
Sapata, Christelle
Universitat Autònoma de Barcelona. Departament d'Economia Aplicada

Imprint: Universitat Autònoma de Barcelona. Departament d'Economia Aplicada 2013
Description: 39 p.
Abstract: Fleurbaey and Maniquet have proposed the criteria of conditional equality and of egalitarian equivalence to assess the equity among individuals in an ordinal setting. Empirical applications are rare and only partially consistent with their framework. We propose a new empirical approach that relies on individual preferences, is consistent with the ordinal criteria and enables to compare them with the cardinal criteria. We estimate a utility function that incorporates individual heterogeneous preferences, obtain ordinal measures of well-being and apply conditional equality and egalitarian equivalence. We then propose two cardinal measures of well-being, that are comparable with the ordinal model, to compute Roemer's and Van de gaer's criteria. Finally we compare the characteristics of the worst-off displayed by each criterion. We apply this model to a sample of US micro data and obtain that about 18% of the worst-off are not common to all criteria.
Rights: Aquest document està subjecte a una llicència d'ús Creative Commons. Es permet la reproducció total o parcial, la distribució, i la comunicació pública de l'obra, sempre que no sigui amb finalitats comercials, i sempre que es reconegui l'autoria de l'obra original. No es permet la creació d'obres derivades. Creative Commons
Language: Anglès
Series: Departament d'Economia Aplicada. Documents de treball
Series: Document de treball (Universitat Autònoma de Barcelona. Departament d'Economia Aplicada) ; 1304
Document: Working paper
Subject: Discriminació en el treball ; Mercat de treball ; Random Utility ; Preference heterogeneity ; Welfare ; Inequality of opportunity ; Labour supply



39 p, 738.5 KB

The record appears in these collections:
Research literature > Working papers > Department of Applied Economics. Working papers

 Record created 2015-06-02, last modified 2024-05-24



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