An Atkinson-Gini Family of Social Evaluation Functions

Universitat Autonoma de Barcelona, Economia Working Paper No. 476.01

16 Pages Posted: 15 Jul 2001

See all articles by Jean-Yves Duclos

Jean-Yves Duclos

Laval University; IZA Institute of Labor Economics

Abdelkrim Araar

Université Laval - Département d'Économique

Abstract

We investigate the properties of a family of social evaluation functions and inequality indices which merge the features of the family of Atkinson (1970) and S-Gini (Donaldson and Weymark (1980, 1983), Yitzhaki (1983) and Kakwani (1980)) indices. Income inequality aversion is captured by decreasing marginal utilities, and aversion to rank inequality is captured by rank-dependent ethical weights, thus providing an ethically-flexible dual basis for the assessment of inequality and equity. These social evaluation functions can be interpreted as average utility corrected for the ill fare of relative deprivation. They can alternatively be understood as averages of altruistic well-being in a population. They moreover have a simple graphical interpretation.

JEL Classification: D31, D63, D64

Suggested Citation

Duclos, Jean-Yves and Araar, Abdelkrim, An Atkinson-Gini Family of Social Evaluation Functions. Universitat Autonoma de Barcelona, Economia Working Paper No. 476.01, Available at SSRN: https://ssrn.com/abstract=275253 or http://dx.doi.org/10.2139/ssrn.275253

Jean-Yves Duclos (Contact Author)

Laval University ( email )

Quebec G1K 7P4
Canada
418-656-7096 (Phone)
418-656-9727 (Fax)

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Abdelkrim Araar

Université Laval - Département d'Économique ( email )

CREFA
Ste-Foy, Quebec 179Que G1K
Canada