NET NATIONAL PRODUCT AS A WELFARE INDICATOR

Authors
BREKKE KA
Citation
Ka. Brekke, NET NATIONAL PRODUCT AS A WELFARE INDICATOR, The Scandinavian journal of economics, 96(2), 1994, pp. 241-252
Citations number
17
Categorie Soggetti
Economics
Journal title
The Scandinavian journal of economics → ACNP
ISSN journal
03470520
Volume
96
Issue
2
Year of publication
1994
Pages
241 - 252
Database
ISI
SICI code
0347-0520(1994)96:2<241:NNPAAW>2.0.ZU;2-1
Abstract
The question of whether changes in NNP will measure changes in welfare is investigated in this paper. Weitzman demonstrated that under Speci fiC conditions, NNP is proportional to discounted consumption. The res ult requires NNP to be measured in Current prices in utility units. Ch anges in real NNP measured using given prices from a base year will no t represent a complete account of welfare changes.