Does less inequality among households mean less inequality among individuals?

Eugenio Peluso, Alain Trannoy

Résultats de recherche: Contribution à un journalArticleRevue par des pairs

Résumé

Consider an income distribution among households of the same size in which individuals, equally needy from the point of view of an ethical observer, are treated unfairly. Individuals are split into two types, those who receive more than one half of the family budget and those who receive less than one half. We look for conditions under which welfare and inequality quasi-orders established at the household level still hold at the individual one. A necessary and sufficient condition for the Generalized Lorenz test is that the income of dominated individuals is a concave function of the household income: individuals of poor households have to stand more together than individuals of rich households. This property also proves to be crucial for the preservation of the Relative and Absolute Lorenz criteria, when the more egalitarian distribution is the poorest. Extensions to individuals heterogeneous in needs and more than two types are also provided.
langue originaleAnglais
Pages (de - à)568-578
Nombre de pages11
journalJournal of Economic Theory
Volume133
Numéro de publication1
Les DOIs
étatPublié - mars 2007
Modification externeOui

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