Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5058163 | Economics Letters | 2016 | 4 Pages |
Abstract
I consider an exchange economy in which each agent's preferences are given by Ui=ui+θF, where ui is a standard utility function, F is a social objective function and θ is the weight F receives. Both F and θ are common to all individuals. I show that F's equilibrium value may be a decreasing function of θ. I also show that if F is a social welfare function whose arguments are the ui's, then the economy's equilibria are independent of θ.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Shiran Rachmilevitch,