Welfare Economics and Robinson Crusoe the Producer
Posted: 29 Aug 2000
The welfare of almost all employed people is significantly affected by how they spend their working hours?and not just by how long they work and what they can purchase with their earnings. Yet this brute fact is all but ignored in welfare economics! It is shown here, in a very simple way, how sharply the familiar results of welfare theory are changed once this glaring omission is rectified.
JEL Classification: D60
Suggested Citation: Suggested Citation