Several areas of welfare economics seek to evaluate states of affairs as a function of interpersonally comparable individual utilities. The aim is to map each state of affairs onto a vector of individual utilities, and then to produce an ordering of these vectors that can be represented by a mathematical function assigning a real number to each. When this approach is used in intertemporal contexts, a central theoretical question concerns the evaluative weight to be applied to utility coming (...) at different times. This question concerns the rate of pure time preference, which is one key determinant of the social discount rate. This article argues that the standard philosophical account of pure time preference is mistaken, because it ascribes to economists a methodological commitment they need not, and often do not, accept. This in turn undercuts the most common philosophical objection to pure time preference, which traces at least to Rawls’s A Theory of Justice. The article then evaluates three further objections to pure time preference, concluding that it might still be defensible under certain circumstances. The article closes by articulating a final argument that is suggested by the “Social, Economic and Ethical Concepts and Methods” chapter of the most recent Intergovernmental Panel on Climate Change report. If this further argument is sound, it would constitute a decisive objection to pure time preference as it currently figures in much intertemporal welfare economics. (shrink)

Although the economic thought of Marshall and Pigou was united by ethical positions broadly considered utilitarian, differences in their intellectual milieu led to degrees of difference between their respective philosophical visions. This change in milieu includes the influence of the little understood period of transition from the early idealist period in Great Britain, which provided the context to Marshall’s intellectual formation, and the late British Idealist period, which provided the context to Pigou’s intellectual formation. During this latter period, the pervading (...) Hegelianism and influences of naturalism arising from the ideas of Charles Darwin and Herbert Spencer were challenged by Hermann Lotze, a key transitional thinker influencing the Neo-Kantian movement, who recognised significant limits of naturalism, on the one hand, and the metaphysical tenor of absolute idealism, on the other, and attempted to provide a balance between the two. The goal of this paper is to make the provisional case for the argument that Pigou’s views on ethics were not only directly influenced by utilitarian thinkers like Mill and Sidgwick, but they were also indirectly influenced by Hermann Lotze, via the influence of the Neo- Kantian movement on late British idealism. To that end, Pigou’s essays in The Trouble with Theism (1908), including his sympathetic consideration of the ethics of Friedrich Nietzsche, reflect the influence of Lotze indirectly through the impact at Cambridge of: James Ward’s critique of associationist psychology, and consideration of the limits of naturalism including the critique of evolutionary ethics; Bertrand Russell’s rejection of neo-Hegelianism and, together with Alfred North Whitehead, the development of Logicism; and G.E. Moore’s critique of utilitarian ethics on the basis of the naturalistic fallacy and the development of his own intuitionist system of ethics. (shrink)

Behavioural economics has taught us that human agents don't always display consistent, context-independent and stable preferences in their choice behaviour. Can we nevertheless do welfare economics...

I argue that the discussion around the True Preferences Knowledge Problem in behavioral welfare economics has suffered from a missing distinction between two different knowledge problems: one about welfare, and the other about public policy. Here, I separate those knowledge problems and show that, given their different success conditions, it is no surprise that we haven’t found a satisfactory answer to “the” true preferences knowledge problem. There is an embedded tendency to try to answer the policy knowledge (...) problem by engaging the welfare knowledge problem. I show that the impulse is misguided, and that we do not need to appeal to a complete theory of how preferences are related to welfare to answer questions about policy. However, this does not mean that we need to stop talking about preferences. We can make progress on the policy knowledge problem without appealing to a theory of welfare by focusing on the information that people are giving us about the mistakes they are making. I introduce repudiated preferences as a device that allows us to break out of this cycle and start to make progress in our discussions of nudging and Behavioral Intervention Policies without first solving the welfare knowledge problem. Finally, I acknowledge the challenges that still face this approach, and trace some avenues for how further work could build on these insights. (shrink)

There is growing concern that decision-making informed by machine learning (ML) algorithms may unfairly discriminate based on personal demographic attributes, such as race and gender. Scholars have responded by introducing numerous mathematical definitions of fairness to test the algorithm, many of which are in conflict with one another. However, these reductionist representations of fairness often bear little resemblance to real-life fairness considerations, which in practice are highly contextual. Moreover, fairness metrics tend to be implemented in narrow and targeted toolkits that (...) are difficult to integrate into an algorithm’s broader ethical assessment. In this paper, we derive lessons from ethical philosophy and welfare economics as they relate to the contextual factors relevant for fairness. In particular we highlight the debate around acceptability of particular inequalities and the inextricable links between fairness, welfare and autonomy. We propose Key Ethics Indicators (KEIs) as a way towards providing a more holistic understanding of whether or not an algorithm is aligned to the decision-maker’s ethical values. (shrink)

Abstract: This paper examines Mark Blaug's position on the normative character of Paretian welfare economics: in general, and specifically with respect to his debate with Pieter Hennipman over this question during the 1990s. The paper also clarifies some of the confusions that emerged within the context of this debate, and closes by providing some additional arguments supporting Blaug's position that he himself did not provide.

Given the endowment effect, the role of attention in decision-making, and the framing effect, most behavioral economists agree that it would be a mistake to accept the satisfaction of revealed preferences as the normative criterion of choice. Some have suggested that what makes agents better off is not the satisfaction of revealed preferences, but ‘true’ preferences, which may not always be observed through choice. While such preferences may appear to be an improvement over revealed preferences, some philosophers of economics (...) have argued that they face insurmountable epistemological, normative, and methodological challenges. This article introduces a new kind of true preference – values-based preferences – that blunts these challenges. Agents express values-based preferences when they choose in a manner that is compatible with a consumption plan grounded in a value commitment that is normative, affective, and stable for the agent who has one. Agents who choose according to their plans are resolute choosers. My claim is that while values-based preferences do not apply to every choice situation, this kind of preference provides a rigorous way for thinking about classic choice situations that have long interested behavioral economists and philosophers of economics, such as ‘Joe-in-the-cafeteria.’. (shrink)

Invoking a broad catalog of applicable Bahá’í principles, this paper presents the conceptual and theoretical underpinnings of a Bahá’í approach to economic growth and disparity and then maps these concepts onto an applied framework of economic rights and responsibilities. The framework that emerges thus both conceptualizes the underlying virtues that govern economic prosperity in a Bahá’í model and shows how these principles might lead to normative prescriptions for economic rights and responsibilities. The paper concludes that the Bahá’í principles dealing with (...) economic prosperity expand the theory and practice of economic justice and give rise to individual and institutional rights and responsibilities that go beyond the imperatives of conventional models of welfare. (shrink)

Even where willingness-to-pay as a measure of welfare impact is adjusted for diminishing marginal utility, welfare economics is shown to favour policies that add to the life expectancy or that enhance the quality of life of persons who are already better-off. I propose an alternative, Equal Respect methodology, under an axiomatic claim that at the point of decision the prospective life years of all individuals are of equal intrinsic social value. This justifies equal valuation of risk mitigation (...) across all persons; similarly, all appraised impacts should be scaled to accord equal respect to difficult but no-less-valuable lives. (shrink)

The paper discusses the sense in which the changes undergone by normative economics in the twentieth century can be said to be progressive. A simple criterion is proposed to decide whether a sequence of normative theories is progressive. This criterion is put to use on the historical transition from the new welfare economics to social choice theory. The paper reconstructs this classic case, and eventually concludes that the latter theory was progressive compared with the former. It also (...) briefly comments on the recent developments in normative economics and their connection with the previous two stages. (Published Online April 18 2006) Footnotes1 This paper suspersedes an earlier one entitled “Is There Progress in Normative Economics?” (Mongin 2002). I thank the organizers of the Fourth ESHET Conference (Graz 2000) for the opportunity they gave me to lecture on this topic. Thanks are also due to J. Alexander, K. Arrow, A. Bird, R. Bradley, M. Dascal, W. Gaertner, N. Gravel, D. Hausman, B. Hill, C. Howson, N. McClennen, A. Trannoy, J. Weymark, J. Worrall, two annonymous referees of this journal, and especially the editor M. Fleurbaey, for helpful comments. The editor's suggestions contributed to determine the final orientation of the paper. The author is grateful to the LSE and the Lachmann Foundation for their support at the time when he was writing the initial version. (shrink)

Winds of change, from the political perspective in Mexico, invite us to reformulate the methodological vision for the direction of public policy in the field of social development, directing their actions towards the construction of a methodological proposal that allows us to direct ourselves towards achieving higher levels of Well-being Social in our country, as a desirable objective of public policy and which is expected to be inclusive, participatory and democratic. -/- In this sense, it is important to recognize that (...) the current debate, in the academic and political sphere, questions what is being well? What is the life that is worth living? And that, additionally, the recognition of the satisfaction of life goals, at an individual and collective level, which invites us to reflect, if the current economic and social policy and strategy has produced results in what we envision as social welfare? Is a new approach necessary to solve the problem? What strategy should it be to consider the new methodological approach that seeks social welfare? And what components should be considered in the measurement of social welfare? This document is an invitation to review the concept of social welfare, as a proposal whose purpose is to correct the deficiencies or historical deficiencies suffered by the population, in the elemental enjoyment of social rights, a situation that causes social backwardness, marginalization, and that it is aimed at the impossibility of participating in the social decisions of the community and in collective decisions, such as: speaking, proposing, being heard and demanding compliance with fundamental human rights such as: health, food, housing, employment and security, among others. These deficiencies in the enjoyment of social and human rights are seen in the presence of social exclusion, and that together these social deficiencies explain the degree of multidimensional poverty suffered by the population in rural and urban areas. It is here that he invites us to reflect: what is the problem that social welfare seeks to solve? Multidimensional poverty, social exclusion, social backwardness or social inequality? And consequently, how to define the components to identify social welfare? -/- The document is made up of three sections: i) Social welfare: A retrospective look; ii) Social Welfare, an integrative view: The contribution of Sen, Naussbam, Rawls, Actis Di Pasquale and Keyes; and iii) Social Welfare: The recognition of limits in economic development -/- The first section presents a review of the proposals, which in the area of economic development have been presented since 1968 in the Human Condition Project, until the 2015 proposal of Sustainable Development Goals. -/- In the second section, the contributions of (Rawls, 1995), (Sen, 1982), (Nussbaum, 2011), (Keyes, 1998) , (Actis Di Pasquale, 2015) and (Actis Di Pasquale, 2017) are presented in order to present an integrative approach to the concept of social welfare. And finally, the third section presents the recognition of limits in development, as well as an invitation for action from a transdisciplinary and interdisciplinary perspective in the study of social welfare. -/- August 2020 DOI: 10.13140/RG.2.2.24147.20006/1 LicenseCC BY-SA 4.0 -/- . (shrink)

The paper links higher education reforms and welfare states reforms in postcommunist Central European countries. It links current higher education debates (and reform pressures) and public sector debates (and reform pressures), stressing the importance of communist-era legacies in both areas. It refers to existing typologies of both higher education governance and welfare state regimes and concludes that the lack of the inclusion of Central Europe in any of them is a serious theoretical drawback in comparative social research. The (...) region should still, after more than two decades of transition and heavy international policy advising, be viewed as a “laboratory of social experimentation”. It is still too risky to suggest generalizations about how Central European higher education and welfare systems fit existing typologies. Consequently, the “transition” period is by no means over: it is over in terms of politics and economics but not in terms of social arrangements. Both higher education and welfare states should be viewed as “work in progress”: permanently under reform pressures, and with unclear future. (shrink)

Marie Oldfield, Pro Bono Economics & Refugee Council. Over half the total applications for asylum the UK receives each year are initially rejected, yet nearly a third of these initial rejections are subsequently overturned on appeal. This process that fails to get decisions right first time imposes significant costs, not just on the applicants themselves, but also more widely on UK taxpayers. Asylum seekers are not entitled to welfare benefits nor employment except in some limited cases, and are (...) often placed in unsuitable conditions with lack of appropriate support to prepare their case for asylum. These unfortunate circumstances mean that they are unable to gather and present all the required evidence first time, even when the case for asylum is legitimate. As a result, the application is rejected and thus begins a cycle of appeals that might eventually lead to a successful outcome for the asylum seeker but will, in the process, burden the taxpayer with unnecessary administrative cost and cause the asylum seeker needless distress and prevent them from accessing suitable economic opportunities. • Our study estimates that there are approximately 4,000 initial rejections that are successfully appealed each year and, with each appeal incurring direct administrative costs of around £1,000, the price tag of incorrect initial decisions adds up to a hefty £4 million per year in unnecessary administrative costs alone. • There are other costs, too, that negatively impact asylum seekers and taxpayers, albeit in a more indirect manner. The longer the appeals process is dragged out, the more delay there is to successful asylum seekers entering the labour market which means lost economic activity and forgone tax revenue for the Exchequer. Long periods of unemployment also result in skills attrition and lower the probability of the asylum seeker successfully entering the labour market in the future. • A lengthy appeals process heightens stress and worsens mental health in asylum seekers, a group arguably already more vulnerable on this front. Unnecessary human suffering aside, there is also a monetary cost borne by the taxpayer should NHS mental health services become involved. Thus, there is a pressing and viable case for providing asylum seekers a stable environment in which to complete their applications for asylum. This would increase the likelihood of reaching correct decisions in the first instance, avoid unnecessary administrative costs of an arduous appeals process, enable successful asylum seekers to access the labour market and contribute to the Exchequer, and avoid placing extra demands on already strained NHS mental health services. (shrink)

For several decades, public political discourses on ‘welfare dependency’ have failed to recognise that welfare states are not the source of economic dependence, but rather reconfigure economic dependencies in a specific way. This article distinguishes four senses of ‘economic dependence’ that can help to clarify what is missing from these discourses, and what is at stake in political and legal decisions about how we may economically depend upon one another. While feminist, republican and egalitarian philosophical work has examined (...) the problems of dependence on states, in families and in markets, the present approach adds a further dimension to our cultural and political concerns with economic dependence: it argues that it is reasonable and useful to consider the economic dependence of the economically powerful. Doing so requires a clarification of the ‘varieties of dependence’ that exist in contemporary societies and economies, and the recognition that legal and political choices regarding social and economic justice are often about choosing between varieties of dependence, not about escaping dependence entirely. (shrink)

In Southeast Asian countries (SEA), road transport accounts for the main energy consumption and CO2 emission. Air pollution is a major concern in densely populated cities such as Bangkok, Manila, and Kuala Lumpur. The main objective of this paper is to give insights on trends of transport development, car ownership, and CO2 emissions in Southeast Asia. This study also attempts to review the successful transportation policies around the globe and to introduce the possible instruments that can help reduce air pollution (...) in Southeast Asian countries. Economic instruments to estimate the benefits of a cleaner environment due to new policies are introduced as well. The results of this research could help policy makers consider approaches that could internalize external costs of transportation and maximize the societal welfare. (shrink)

The social side of the animal welfare debate has been inadequately informed by economic science. This work examines the philosophical debate over animal welfare and proposes an alternative approach. It examines the prospects of the animal welfare/rights movement in the context of public choice theory. An economic theory of animal welfare is developed. Finally, a case study is used to demonstrate one methodology for estimating the direct human costs of animal welfare restrictions.

The state has always authoritatively used criminal law to give effect to its policy of condemning acts either antisocial or unacceptable to the conscience of the law and society. The existence of criminal law is well justified on grounds of ‘social welfare’ or “reinforcement of those values most basic to proper social functioning”. This initiates or sustains the process of criminalization. The relativity of ‘social welfare’ makes law ‘dynamic’ as well as ‘varying’, vis-à-vis its ambit and scope. Current (...) scholarship is critical of what is referred to as the trend of overcriminalization or rapid increase in criminalizing of acts, as leading to ‘uncertainty’ in criminal law. The rationale for such a critique is that there are activities that need not be labeled as offences if they do not possess the potential to cause damage that criminal law seeks to protect. In light of the overcriminalization critique, this paper examines the criminalization of certain offences labeled as public welfare offences. (shrink)

In this book some options concerning the greenhouse effect are assessed from a welfarist point of view: business as usual, stabilization of greenhouse gas emissions and reduction by 25% and by 60%. Up to today only economic analyses of such options are available, which monetize welfare losses. Because this is found to be wanting from a moral point of view, the present study welfarizes (among others) monetary losses on the basis of a hedonistic utilitarianism and other, justice incorporating, (...) class='Hi'>welfare ethics. For these welfarist evaluations information about the social consequences of the four options are collected from the literature and eventually corrected; then the consequences for individual well-being are assessed based on psychological research about well-being dependent on the social situation of the individual; finally the aggregation formulas of the respective welfare ethics are applied to these data. Assessments by other types of ethics, e.g. Kantian ethic, are included. The strongest abatement option is found to be optimum with great unanimity. - In addition a cost-welfare analysis of greenhouse gas abatement is undertaken revealing efficient cost-welfare ratios for these measures and the most efficient ratio for the strongest option. - A final, more theoretical part discusses the moral obligations following from such evaluations. The notion of 'moral obligation' is explained in a way that, apart from moral goodness of the required act, reinforcement by formal or informal sanctions is another necessary condition for moral obligations. This leads to a conception of a historical morality according to which the demands of morality rise in the long run. Applying this conception to the greenhouse effect implies that presently we have the moral duty to raise the standards of greenhouse gas abatement as much as is politically feasible. (shrink)

The paper analyses economic evaluations by distinguishing evaluative statements from actual value judgments. From this basis, it compares four solutions to the value neutrality problem in economics. After rebutting the strong theses about neutrality (normative economics is illegitimate) and non-neutrality (the social sciences are value-impregnated), the paper settles the case between the weak neutrality thesis (common in welfare economics) and a novel, weak non-neutrality thesis that extends the realm of normative economics more widely than the (...) other weak thesis does. (shrink)

Determining the precise nature of the connection between preference, choice, and welfare has arguably been the central project in the field of welfare economics, which aims to offer a proper guide for economists in the making of policy decisions that affect people’s welfare. The two leading approaches here historically – the revealed preference and latent preference approaches – seem equally incapable of so guiding economists. I argue that the deadlock here is due to welfare economists’ (...) failure to recognize a crucial distinction between two senses of “preference.” I analyze and defend these senses of “preference,” and argue that each shares a close connection with just one of choice and welfare. This analysis reveals how economists should conceive of both the connections between “preference,” choice, and welfare, and the proper roles of these concepts in welfare economics. I conclude by showing this analysis to best explain the plausibility of two leading alternative approaches from Hausman and Sugden. (shrink)

Some Romanian feminist scholars argue that welfare policies of post-communist states are deeply unjust to women and preclude them from reaching economic autonomy. The upshot of this argument is that liberal economic policy would advance feminist goals better than the welfare state. How should we read this dissonance between Western and some Eastern feminist scholarship concerning distributive justice? I identify the problem of dependency at the core of a possible debate about feminism and welfare. Worries about how (...) decades of communism have shaped citizenry feed feminists' suspicion of the welfare state and fears of paternalist policies. I criticize the arguments in favour of neoliberal policies and I suggest a crucial distinction between legitimate, universal forms of human dependency and dependencies that result from particular social arrangements. (shrink)

Beyond reasonable doubt, the influence of Western culture and civilizations has enervated traditional African family systems, and their functions as providers of social welfare. Hitherto, traditional African family and clan by extension served as the plausible medium by which Africans proffered solutions to those social, economic and other existential problems found within their communities. However, measuring and evaluating the successes of the various social welfare programs organized by the family and clan was a difficult task to achieve. It (...) seems the services rendered merely controlled the social problems but did not improve the standard of living of the victims. This paper seeks to critically analyse the traditional African family system and its role as a provider of social welfare and argues that it can complement the Western models towards holistic social integration. Thus this work adopts the theory of change as a tool for understanding how Western models of social welfare should be integrated with traditional African approaches to care for the ‘weak’ in the society. Advocating for a paradigm shift from the modern models of providing social welfare to the traditional African family and clan model is consequent upon the claim that the latter is more embracing in approach. (shrink)

Animals are an important part of our social, economic and corporate world. Their wellbeing is significantly affected by the ways in which humans treat them. However, animals have long remained (and, indeed, continue to remain) effectively invisible in the business ethics and corporate responsibility discourse. This article argues in favor of the moral necessity of according animal welfare a higher priority in business. In line with most streams in both recent and traditional animal ethics, this article derives the avoidance (...) of unnecessary animal suffering as the moral minimum standard for responsible management in the livestock industry. Based on a broad range of different interpretations of what animal suffering may be necessary, the article discusses three distinct ways in which humans working in the animal industry could meet their moral responsibility to avoid unnecessary suffering, and, with this, increase animal welfare: by ameliorating circumstances for animals, by aiming at a two-pronged transformation, or by transforming into a “zero-suffering” business. Considering animal welfare as a legitimate ethical value in and of itself is a first step towards overcoming the anthropocentric bias in today's sustainability and corporate responsibility debate. (shrink)

Amartya Sen’s remarkable endeavour to realize the normative capability of welfare economics goes beyond the impecunious resultants of the neoclassical welfare economy. The neoclassical welfare economy decoratively bracketed values to speculate about factual observations. This was due to the influence of logical positivists and their convictions about experimental scientific statements (primarily mathematical) and their vicinity to empirical truths and analytic statements. Sen adequately inquires “whether morality can be expressed in the form of choice between preference patterns (...) rather than between actions” (Sen, 1997a, 78). “A new phase classical theory” in economics from the hands of Sen and some others put forth two pivotal issues in a unified manner: a. Mathematical models of an economy. b. Ethical reflection on the subject of welfare economy–a value-laden enterprise in Sen’s literature. -/- In general, welfarists and utilitarians affirm that moral values are anchored in individual agency and involve mental metric utilities (pleasure, happiness, pain etc.). This focus, first of all, results in a disadvantage, as it undermines freedom in terms of achievement. Secondly, it pays no heed to achievement reasonably giving more importance to those who are incapable of reflecting on any one of those mental metrics. Besides, Sen argues that equality of opportunity does not accord with the equality of freedom, and its reason is rooted in the scope of the incongruity of human beings and the diversified meanings of efficiency. Developing a general methodological approach to revisit the notion of inequality concerned by exploring a particular substantive stand that Sen aims to underscore involves examining how social arrangements work to define freedom, capabilities, and welfare to ensure comparisons and assessments of quality of life. (shrink)

Economic policy evaluations require social welfare functions for variable-size populations. Two important candidates are critical-level generalized utilitarianism (CLGU) and rank-discounted critical-level generalized utilitarianism, which was recently characterized by Asheim and Zuber (2014) (AZ). AZ introduce a novel axiom, existence of egalitarian equivalence (EEE). First, we show that, under some uncontroversial criteria for a plausible social welfare relation, EEE suffices to rule out the Repugnant Conclusion of population ethics (without AZ’s other novel axioms). Second, we provide a new characterization (...) of CLGU: AZ’s set of axioms is equivalent to CLGU when EEE is replaced by the axiom same-number independence. (shrink)

This chapter considers possible moral grounds for recognizing and realizing economic and social rights (ESRs) as human rights. It begins by suggesting that ESRs fall into three families: (1) welfareoriented ESRs, which protect adequate income, education, health, and safe and healthful working conditions; (2) freedom-oriented ESRs, which prohibit slavery, ensure free choice of employment, and protect workers’ freedoms to organize and strike: and (3) fairness-oriented ESRs, which require nondiscrimination and equal opportunity in the workplace along with fair remuneration for one’s (...) work. To accommodate the normative diversity found in these three families, the chapter suggests a pluralistic justicatory framework that appeals to three kinds of moral reasons: human welfare, freedom, and fairness. A final section considers the possibility of subsuming all three of these approaches to justication under the idea of human dignity or the associated idea of equal respect for persons. (shrink)

In recent years, environmental education has increasingly focused on the role of nonhuman animals in our ecosystems. However, even with growing research, animals are still not a central part of environmental education. Instead, the focus remains on human-centered issues. This reflects a larger societal problem, where influential groups—such as businesses and political or religious institutions—resist changes that might challenge human dominance. -/- A recent study points out that environmental education, shaped by the idea of “sustainable development,” often overlooks the ethical (...) treatment of animals. This happens partly because the concept of sustainability is vague, allowing economic growth and management goals to take priority over animal welfare. Moreover, many educational systems consider biocentrism—the belief that all living beings deserve respect—as optional rather than fundamental. (shrink)

Psychological well-being is a major global concern receiving more scholarly attention following the 2008 Great Recession, and it becomes even more relevant in the context of COVID-19 outbreak. In this study, we investigated the impact of economic uncertainty resulting from natural disasters, epidemics, and financial crisis on individuals' mental health. As unemployment rate exponentially increases, individuals are faced with health and economic concerns. Not all society members are affected to the same extent, and marginalized groups, such as those suffering from (...) chronic mental illnesses or low-income families cannot afford the downsizing, mass lay-offs and lack of access to public health services. Psychiatric profession is familiarized with the phenomenon of intolerance of uncertainty (IU), and we examine how this concept is associated with job uncertainty and social identity disturbance. Several studies have formally investigated the effects of IU, but to our knowledge, this is the first research integrating the psychological well-being, job uncertainty and identity disturbance caused by economic breakdown. Literature points to many reported cases of PTSD, anxiety, depression and suicidal tendencies following major social disasters. Yet, we have undertaken to analyze the subjective experiences underlying the self-harming behaviors in an attempt to fill the methodological gap by drawing insights from prominent psychological, sociological and economic theories. We find economic uncertainty to have a positive relation to job uncertainty and identity disturbance, and a negative relationship with psychological well-being. Psychological well-being depends on coherency between both abstract subjective and concrete objective identity, and when these perceptions are inconsistent, cognitive dissonance arises resulting in identity disturbance. We argue that stability is not associated with monetary advantage only, but also with a wide range of other benefits that are crucial for individuals' growth, satisfaction and sense of identity. Therefore, we propose the implementation of social support and public welfare policies to mitigate health risks during the turbulent socio-economic changes. (shrink)

This article contributes to the debate on the relationship between marketing and propaganda through an analysis of social marketing as a mode of governing in permanent campaigning. The working hypothesis is that social marketing operations are agitational rather than propagandistic. The conceptual approach stems from a comparison of propaganda and marketing with Fordist and post-Fordist modes of production and governance. The research into the role of agitation involves an empirical study of the UK government campaign against benefit fraud, the most (...) expensive of its kind. Using a combination of methodologies, the political context is framed through a discourse analysis that charts the historical emergence of the problem of benefit fraud and the material effects of this discourse on welfare spending allocation, content analysis is used to identify correspondences between different newspapers’ rhetoric and policy under different governments, and semiotic analysis helps to decode the message of the campaign against benefit fraud, as it relates to the overall government’s strategy on this issue. The study offers insights into the political strategy of the government of New Labour between 1997 and 2010 and its resort to agitational techniques, exposing the limitations of government marketing and public relations in the context of an overall crisis of its political legitimacy, in both economic and political terms. (shrink)

This paper explores the correlation between economic indicators and economic development, focusing on common economic indicators such as GDP, Purchasing Power Parity (PPP), economic growth rate, and unemployment rate. It compares and analyzes data from Taiwan, Japan, South Korea, the United States, and China. The study finds that a single economic indicator cannot fully reflect a country's economic development and that multiple indicators must be considered to assess the economic situation more accurately. The paper also discusses differences in economic growth (...) among countries, the impact of income disparity and unemployment rates on economic development, and emphasizes the importance of PPP in cross-country comparisons. Finally, it points out that in addition to GDP, factors such as income distribution and social welfare should also be considered when evaluating economic development. -/- Keywords: Economic Indicators, Gross Domestic Product (GDP), Purchasing Power Parity (PPP), Economic Growth Rate, Unemployment Rate. (shrink)

Vaccination against various diseases has been widely practised for more than a century and on a more limited scale its use in a variety of forms stretches back far longer. During earlier eras disease spread more slowly along shipping lanes on water and traditional transport routes on land. Today, in an era of air transport, contagion spreads far more rapidly. Travelling far more rapidly (indeed instantaneously) is the spread of misinformation that hinders vaccination which can, in the instance of Covid-19, (...) reduce disease impacts, including rates of severe illness and death. This paper explores the ethical issue of informed consent in the context of the contest between personal choice and the greater public welfare. It also makes reference to a number of low, middle and high income countries where vaccine hesitance, and to a lesser extent refusal, has been fed by misinformation on a scale not previously observed but made possible by the proliferation of modern technology. This campaign of ignorance has further undermined trust in governmental health bodies and their attempts to implement quarantine and other measures such as vaccination that had already been damaged by early variations and vacillation in governmental approaches around the globe due in part to a reluctance by some governments to take actions that would have economic repercussions but also by the necessary evolution of their approaches as more became known about the disease and its variants. The paper examines the historical background and the current situation and finds that more must be done to restore or increase trust levels between citizens and governmental authorities, including the dissemination of high quality accurate information in a form relevant to readers/viewers. While potential side-effects of vaccines must be disclosed to ensure informed consent, their incidence should also be clearly communicated (e.g., in vaccine information statements) so that clients/patients are aware that a risk is 1 in 100 or 1in 1000 or 1 in 2 million etc. Governments are urged to learn from their experience and better prepare for inevitable future pandemics to minimise vaccine hesitancy and refusal and maximise its acceptance where evidence is overwhelming as to the benefit to the community. Informed consent is part of the context of efforts to use vaccination to contain or eradicate any disease. Nevertheless, while better information for clients/patients/consumers may reduce vaccine hesitancy/refusal, it is unlikely that it would but eliminate the need for mandating vaccination in some circumstances for the benefit of the broader community, although strict quarantine of those reluctant to accept it is an alternative but one not generally accepted by those reluctant to be vaccinated. The information war is one that needs to be won to increase the voluntary uptake of vaccination in the context of voluntary informed consent. (shrink)

Abstract: Economists are accustomed to distinguishing between a positive and a normative component of their work, a distinction that is peculiar to their field, having no exact counterpart in the other social sciences. The distinction has substantially changed over time, and the different ways of understanding it today are reflective of its history. Our objective is to trace the origins and initial forms of the distinction, from the English classical political economy of the first half of the 19th century to (...) the emergence of welfare economics in the first half of the 20th century. This sequential account will also serve to identify the main representative positions along with the arguments used to support them, and it thus prepares the ground for a discussion that will be less historical and more strictly conceptual. -/- Résumé : Les économistes ont coutume de distinguer entre une composante positive et une composante normative de leurs travaux, ce qui est une singularité de leur discipline, car cette distinction n'a pas de répondant exact dans les autres sciences sociales. Elle a fortement évolué au cours du temps et les différentes manières de la concevoir aujourd'hui en reflètent l'histoire. On se propose ici d'en retracer les origines et les premières formes, de l'économie politique classique anglaise de la première moitié du XIXe siècle jusqu'à l'apparition de l'économie du bien-être dans la première moitié du XXe siècle. Ce parcours séquentiel vise aussi à identifier les positions les plus représentatives et les arguments invoqués pour les soutenir, en préparant ainsi une discussion qui serait moins historique et plus strictement conceptuelle. (shrink)

This paper discusses ethical issues surrounding Integrated Assessment Models (IAMs) of the economic effects of climate change, and how climate economists acting as policy advisors ought to represent the uncertain possibility of catastrophe. Some climate economists, especially Martin Weitzman, have argued for a precautionary approach where avoiding catastrophe should structure climate economists’ welfare analysis. This paper details ethical arguments that justify this approach, showing how Weitzman’s “fat tail” probabilities of climate catastrophe pose ethical problems for widely used IAMs. The (...) main claim is that economists who ignore or downplay catastrophic risks in their representations of uncertainty likely fall afoul of ethical constraints on scientists acting as policy advisors. Such scientists have duties to honestly articulate uncertainties and manage (some) inductive risks, or the risks of being wrong in different ways. (shrink)

This thesis argues for the fundamental importance of the opposition between holistic and reductionistic world-views in economics. Both reductionism and holism may nevertheless underpin laissez-faire policy prescriptions. Scrutiny of the nature of the articulation between micro and macro levels in the writings of economists suggests that invisible hand theories play a key role in reconciling reductionist policy prescriptions with a holistic world. An examination of the prisoners' dilemma in game theory and Arrow's impossibility theorem in social choice theory sets (...) the scene. The prisoners' dilemma epitomises the collective irrationality coordination problems lead to. The source of the dilemma is identified as the combination of interdependence in content and independence in form of the decision making process. Arrovian impossibility has been perceived as challenging traditional views of the relationship between micro and macro levels in economics. Conservative arguments against the possibility in principle of a social welfare function are criticised here as depending on an illicit dualism. The thesis then reviews the standpoints of Smith, Hayek and Keynes. For Smith, the social desirability of individual self-seeking activity is ensured by the 'invisible hand' of a god who has moulded us so to behave, that the quantity of happiness in the world is always maximised. Hayek seeks to re-establish the invisible hand in a secular age, replacing the agency of a deity with an evolutionary mechanism. Hayek's evolutionary theory, criticised here as being based on the exploded notion of group selection, cannot underpin the desirability of spontaneous outcomes. I conclude by arguing that Keynes shares the holistic approach of Smith and Hayek, but without their reliance on invisible hand mechanisms. If spontaneous processes cannot be relied upon to generate desirable social outcomes then we have to take responsibility for achieving this ourselves by establishing the appropriate institutional framework to eliminate macroeconomic prisoners' dilemmas. (shrink)

The collective monograph «Determinants of Innovation and Investment Development of Multisectoral Entrepreneurship, Tourism and Hospitality Industry» is devoted to the 20th anniversary of the Educational and Scientific Institute of Economics and Law of Cherkasy Bohdan Khmelnytsky National University and is a continuation of the research tradition on the development of entrepreneurship, innovation, finance, competition, accounting and auditing problems, tourism, hotel and restaurant business. The results of the scientific research presented in the collective monograph show the achievements of the representatives (...) of various scientific schools, allow analyzing the experience gained and, considering current economic and political realities, contribute to the scientific substantiation of the prospects for the development of entrepreneurship, tourism industry, hotel and restaurant economy, enrich the intellectual potential of higher schools. The topics of sections and subsections identify the problem issues of innovation, investment and information technology in entrepreneurship, consider the competitive environment in the field of entrepreneurship, investigate the financial-economic and social problems, various directions of tourism industry development, declared by the World Economic Forum jointly with the World Tourism Organization (UN WTO). Particular attention is paid to the development of new trends in the hotel and restaurant business. A common task for scientists, educators, and employers in the conditions of international environmental instability is the formation and dissemination of new knowledge to achieve ambitious goals concerning the entrepreneurship development of tourism, hotel and restaurant business. The proposed discussion of current issues, experience and recommendation exchange will contribute to problem solving, research intensifying in the specified areas of activity. An important component of the modern economics is entrepreneurship; and the intensification of entrepreneurial activity should ensure overcoming of economic crises and their social and economic consequences, and determine the dynamic progress of a society and future welfare of people. It is entrepreneurship that is considered in many economically developed countries as a defining condition for a social and economic prosperity. Entrepreneurial activity involves all branches of economy including industrial, humanitarian and service areas. Therefore, it is necessary to study the key factors for the development of entrepreneurial activity in Ukraine. The current problems of entrepreneurship, tourism, hotel and restaurant business are extensively investigated by both domestic and foreign scholars. A number of researches focuses on these problems. Without diminishing the importance of their contribution to science, the need for further research and improvement should be noted. Therefore, in the monograph, special attention is paid to the state support of business structures, the regulation mechanisms of entrepreneurship, tourism, hotel and restaurant business, social sphere and interaction of market and state institutions, etc. The research was carried out using the developed scientifically substantiated methodological approaches based on the scientific developments of leading foreign and domestic scientists, which allowed proposing the specific directions of entrepreneurship development in the fields of economy, tourism, hotel and restaurant business. The unique nature of the monograph is not only its scientific significance, but also its practical application; since the substantiated positions, measures, proposals for the further transformation of economic processes in Ukraine and in the world have practical value. (shrink)

This article analyses the ethical aspects of multistakeholder recommendation systems (RSs). Following the most common approach in the literature, we assume a consequentialist framework to introduce the main concepts of multistakeholder recommendation. We then consider three research questions: who are the stakeholders in a RS? How are their interests taken into account when formulating a recommendation? And, what is the scientific paradigm underlying RSs? Our main finding is that multistakeholder RSs (MRSs) are designed and theorised, methodologically, according to neoclassical (...) class='Hi'>welfare economics. We consider and reply to some methodological objections to MRSs on this basis, concluding that the multistakeholder approach offers the resources to understand the normative social dimension of RSs. (shrink)

The COVID-19 crisis has forced a difficult trade-off between limiting the health impacts of the virus and maintaining economic activity. Welfare economics offers tools to conceptualize this trade-off so that policy-makers and the public can see clearly what is at stake. We review four such tools: the Value of Statistical Life (VSL); the Value of Statistical Life Years (VSLYs); Quality-Adjusted Life-Years (QALYs); and social welfare analysis, and argue that the latter are superior. We also discuss how to (...) choose policies that differentially affect people’s wellbeing. We argue in favor of evaluating policies using a Social Welfare Function (SWF), which evaluates the possible distributions of wellbeing across individuals that may result from a policy. Such a function, we argue, should regard increases in the wellbeing of the less well-off as especially valuable. We then use a model to illustrate how such a framework can help evaluate two broad policy types in response to the pandemic: eradication of the virus, and more lenient control of the spread. Our model reveals how such evaluations depend on many empirical facts but also on key value judgments about the relative importance of health and on the extent of special concern for the worse off. The purpose of this brief is not to make precise recommendations, as conditions vary widely across countries and over time, but to provide a methodology. (shrink)

This paper shows that implicit assumptions about the numeraire good in the Kaldor-Hicks efficiency-equity analysis involve a "same-yardstick" fallacy (a fallacy pointed out by Paul Samuelson in another context). These results have negative implications for cost-benefit analysis, the wealth-maximization approach to law and economics, and other parts of applied welfare economics--as well as for the whole vision of economics based on the "production and distribution of social wealth.".

Many fields (social choice, welfare economics, recommender systems) assume people express what benefits them via their 'revealed preferences'. Revealed preferences have well-documented problems when used this way, but are hard to displace in these fields because, as an information source, they are simple, universally applicable, robust, and high-resolution. In order to compete, other information sources (about participants' values, capabilities and functionings, etc) would need to match this. I present a conception of values as *attention policies resulting from constitutive (...) judgements*, and use it to build an alternative preference relation, Meaningful Choice, which retains many desirable features of revealed preference. (shrink)

Following a long-standing philosophical tradition, impartiality is a distinctive and determining feature of moral judgments, especially in matters of distributive justice. This broad ethical tradition was revived in welfare economics by Vickrey, and above all, Harsanyi, under the form of the so-called Impartial Observer Theorem. The paper offers an analytical reconstruction of this argument and a step-wise philosophical critique of its premisses. It eventually provides a new formal version of the theorem based on subjective probability.

Well-being can be promoted in two ways. Firstly, by affecting the quantity, quality and allocation of bundles of consumption (the Resource Approach), and secondly, by influencing how people benefit from their goods (the Taste Approach). Whereas the former is considered an ingredient of economic analysis, the latter has conventionally not been included in that field. By identifying the gain the Taste Approach might yield, the article questions whether this asymmetry is justified. If successfully exercised, the Taste Approach might not only (...) enable people to raise their wellbeing, but also provide solutions to a number of issues such as sustainable development and global justice. The author argues that recently developed accounts such as Happiness Economics (HE) and Libertarian Paternalism (LP) both can be considered specifications of the Taste Approach. Furthermore a third specification is identified: Inexpensive Preference Formation (IPF). Whereas LP suggests that choice architecture should be exercised when rationality fails, IPF holds that governance in certain instances should improve choices also in absence of no such failure. (shrink)

Tsui and Weymark (Economic Theory, 1997) have shown that the only continuous social welfare orderings on the whole Euclidean space which satisfy the weak Pareto principle and are invariant to individual-specific similarity transformations of utilities are strongly dictatorial. Their proof relies on functional equation arguments which are quite complex. This note provides a simpler proof of their theorem.

The ex ante Pareto principle has an intuitive pull, and it has been a principle of central importance since Harsanyi’s defence of utilitarianism. The principle has been used to criticize and refine a range of positions in welfare economics, including egalitarianism and prioritarianism. But this principle faces a serious problem. I have argued elsewhere :303-323 2017) that the concept of ex ante Pareto superiority is not well defined, because its application in a choice situation concerning a fixed population (...) can depend on how the members of that population are designated. I show in this paper that in almost all cases of policy choice, there will be numerous sets of rival designators for the same fixed population. I explore two ways that we might complete the definition of ex ante Pareto superiority. I call these the ‘supervaluationist’ reading and the ‘subvaluationist’ reading. I reject the subvaluationist reading as uncharitable, and argue that the supervaluationist reading is the most promising interpretation of the ex ante Pareto principle. I end by exploring some of the implications of this principle for prioritarianism and egalitarianism. (shrink)

Nozick’s entitlement theory of justice has its major attempts to defend the institution of private property and to criticize the redistributive measures on the part of government. Nozick frowns at Rawls’ approach and the approach of welfare economics, which focused on evaluating only current time-slices of a distribution with no concern about the procedural aspects of justice. His notion of distributive justice has its anchorage on the account of what and how a given person is entitled to in (...) virtue of what he has acquired and earned. While Rawls, whose position seems incompatible with that of Nozick holds a notion of justice on the account of the equality of the claims of each person in respect of basic needs and of the means to meet such needs. Nozick’s theory is a reaction against Rawls’ notion of distributive justice which he terms patterned, and of which he feels if upheld would consistently interfere with individual’s rights. This paper therefore argues that contrary to what Robert Nozick seems to suggest we do not see his theory as all satisfying nor any alternative, rather we are convinced that the inherent merits of his theory would suitably complement other patterned theories of distributive justice. This paper employed the expository method as well as critical analysis and prescriptive methods. (shrink)

How should we as a society value changes in population size? The question may be crucial when evaluating global warming scenarios. I defend the intuition of neutrality, which answers a part of the question. It states that – other things being equal – it is ethically irrelevant whether or not additional people are added to a population. The argument against neutrality criticizes the intuition of neutrality as inconsistent. The contribution of this thesis is twofold: First, the framework of welfare (...) economics, the intuition of neutrality, and the argument against neutrality will be presented with formal rigour. Second, the formalizations will be used for a critical analysis of the argument against neutrality. Three ethical frameworks will be assumed – the difference principle, average utilitarianism, and contractarianism –, and their relation to the explicit and hidden premises of the argument against neutrality will be investigated. The result will be that all three frameworks are compatible with the intuition of neutrality (or slightly modified versions); so the argument against neutrality does not hold within them. (shrink)

Benefit/cost analysis is a technique for evaluating programs, procedures, and actions; it is not a moral theory. There is significant controversy over the moral justification of benefit/cost analysis. When a procedure for evaluating social policy is challenged on moral grounds, defenders frequently seek a justification by construing the procedure as the practical embodiment of a correct moral theory. This has the apparent advantage of avoiding difficult empirical questions concerning such matters as the consequences of using the procedure. So, for example, (...) defenders of benefit/cost analysis (BCA) are frequently tempted to argue that this procedurejust isthe calculation of moral Tightness – perhaps that what itmeansfor an action to be morally right is just for it to have the best benefit-to-cost ratio given the accounts of “benefit” and “cost” that BCA employs. They suggest, in defense of BCA, that they have found the moral calculus – Bentham's “unabashed arithmetic of morals.” To defend BCA in this manner is to commit oneself to one member of a family of moral theories (let us call thembenefit/cost moral theoriesorB/C moral theories) and, also, to the view that if a procedure is (so to speak) the direct implementation of a correct moral theory, then it is a justified procedure. Neither of these commitments is desirable, and so the temptation to justify BCA by direct appeal to a B/C moral theory should be resisted; it constitutes an unwarranted short cut to moral foundations – in this case, an unsound foundation. Critics of BCA are quick to point out the flaws of B/C moral theories, and to conclude that these undermine the justification of BCA. But the failure to justify BCA by a direct appeal to B/C moral theory does not show that the technique is unjustified. There is hope for BCA, even if it does not lie with B/C moral theory. (shrink)

Current globalization has its predecessor in the global market of the 19th century. In that time, the main sign of globalization was de socialization of the economy. That globalization ended during World War I as a result of applying the liberal ideology of de socialization to an economy. An attempt to rebuild the global market after World War I led to the global economic crisis (1929 1932), which in Germany allowed Nazis to take over and finally led to World War (...) II. In result of this development after the war, the idea of a welfare state arose in Western Europe. However, the problems brought about by realization of this idea led to further globalization and consequently to the rebuilding of the global market. It is clear that current globalization rebuilds also the process of de socialization of the economy. It seems that this causes the repetition of radicalizations from left to right extremist movements. The current global economic crisis or the combination of energy and environmental crises could end the current globalization trend in the same way as it was brought to an end in the first half of the 20th century. (shrink)

There is growing concern that a global economic system fueled predominately by financial incentives may not maximize human flourishing and social welfare externalities. If so, this presents a challenge of how to get economic actors to adopt a more virtuous motivational mindset. Relying on historical, psychological, and philosophical research, we show how such a mindset can be instilled. First, we demonstrate that historically, financial self-interest has never in fact been the only guiding motive behind free markets, but that markets (...) themselves are representations of our individual and collective moral identities. Building on this understanding, we review the research on how economic incentives crowd out virtue-oriented concerns. We then introduce the concept of moral self-awareness (MSA), an evolving mindset informed by reflection on moral identity, namely what one’s actions say about oneself given the impacts on others or society that one’s action may effect. MSA comprises three fundamental aspects of virtue-oriented reasoning: pride, shame, and guilt. Finally, we offer a four-stage model anchored in systems theory, yielding ever more refined motivating strategies for maximizing human flourishing and social welfare externalities. (shrink)