A Note on the Hicksian Concept of Income
Bard College - Levy Economics Institute
Levy Inst. of Bard College Working Paper No. 342
Empirical studies of intertemporal dynamics of individual income, distribution of personal income, and growth and distribution of national income are all based on statistics that rely on some concept of income. The dominant one today appears to be the so-called Haig-Simons-Hicks (HSH) concept of income. I examine the foundations of this concept in Hicks's Value and Capital and conclude that there is nothing "Hicksian" about the HSH concept of income. Furthermore, I argue that Hicks's failure to distinguish between definition and calculation, and the consequent lack of adequate ex post concepts, make it impossible for his income definitions to serve as a basis for income accounting.
Number of Pages in PDF File: 5
JEL Classification: D30, B21, B31working papers series
Date posted: April 1, 2002
© 2013 Social Science Electronic Publishing, Inc. All Rights Reserved.
This page was processed by apollo5 in 0.407 seconds