Open Access. Powered by Scholars. Published by Universities.®
Social and Behavioral Sciences Commons™
Open Access. Powered by Scholars. Published by Universities.®
Articles 1 - 1 of 1
Full-Text Articles in Social and Behavioral Sciences
Independence Of Allocative Efficiency From Distribution In The Theory Of Public Goods, Ted Bergstrom, Richard Cornes
Independence Of Allocative Efficiency From Distribution In The Theory Of Public Goods, Ted Bergstrom, Richard Cornes
Ted C Bergstrom
When is the Pareto optimal amount of public goods independent of income distribution? Subject to some regularity conditions, the answer is when preferences of every individual i can be represented by a utility function of the form U(X_i,Y)=A(Y)X_i+B_i(Y) where X_i is i's consumption of private goods and Y is the amount of public goods.