Inequality-minimization with a given public budget View Full Text


Ontology type: schema:ScholarlyArticle      Open Access: True


Article Info

DATE

2018-12

AUTHORS

Johannes König, Carsten Schröder

ABSTRACT

We solve the problem of a social planner who seeks to minimize inequality via transfers with a fixed public budget in a distribution of exogenously given incomes. The appropriate solution method depends on the objective function: If it is convex, it can be solved by an interior-point algorithm. If it is quasiconvex, the bisection method can be used. Using artificial and real-world data, we implement the procedures and show that the optimal transfer scheme need not comply with a transfer scheme that perfectly equalizes incomes at the bottom of the distribution. More... »

PAGES

607-629

Identifiers

URI

http://scigraph.springernature.com/pub.10.1007/s10888-018-9380-3

DOI

http://dx.doi.org/10.1007/s10888-018-9380-3

DIMENSIONS

https://app.dimensions.ai/details/publication/pub.1103670003


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