Bitte verwenden Sie diesen Link, um diese Publikation zu zitieren, oder auf sie als Internetquelle zu verweisen: https://hdl.handle.net/10419/31460 
Autor:innen: 
Erscheinungsjahr: 
2007
Schriftenreihe/Nr.: 
Working Paper No. 492
Verlag: 
Levy Economics Institute of Bard College, Annandale-on-Hudson, NY
Zusammenfassung: 
In his presidential address to the American Economic Association, Robert Lucas claimed that the welfare costs of the business cycle in the United States equaled .05 percent of consumption. His calculation compared the utility of a representative consumer receiving actual per-capita consumption each year with that of a similar consumer receiving the expectation of consumption. To a risk-averse person, the latter path of consumption confers more utility, because it is less volatile. Applying Amartya Sen's chooser-dependent preferences to a nonexpected utility case, I will counter Lucas's claim by arguing that people have different attitudes toward risk that is imposed and risk that is voluntarily taken on, and that policymakers, in carrying out public duties, must use sorts of reasoning different from those used by the optimizing consumers of neoclassical economic theory.
Schlagwörter: 
costs of the business cycle
non-expected utility preferences
chooser-dependent preferences
Amartya Sen
JEL: 
E32
E50
D60
D63
D81
Dokumentart: 
Working Paper

Datei(en):
Datei
Größe
263.51 kB





Publikationen in EconStor sind urheberrechtlich geschützt.