Cookies?
Library Header Image
LSE Research Online LSE Library Services

Choices in egalitarian distribution: inequality aversion versus risk aversion

Kroll, Yoram and Davidovitz, Leima (1999) Choices in egalitarian distribution: inequality aversion versus risk aversion. DARP (43). Suntory and Toyota International Centres for Economics and Related Disciplines, London, UK.

[img]
Preview
PDF
Download (107kB) | Preview

Abstract

Inequality aversion and risk aversion are widely assumed features of economic models. But a review of the literature revealed that inequlity aversion and risk aversion are treated as separate variables. This paper presents exploratory research designed to separate inequality aversion from risk aversion. In a set of laboratory experiments, subjects chose between two alternatives with the same individuals risk, but different levels of egalitarianism. Thus, the choice of the more egalitarian alternative with constant risk level implies a higher level of inequality aversion. The experiment was conducted among 211 eight-year-old children, 107 of whom live on Kibbutz and 104 in the city. We found not significant difference between Kibbutz children and city children in inequality aversion.

Item Type: Monograph (Discussion Paper)
Official URL: http://sticerd.lse.ac.uk
Additional Information: © 1999 Yoram Kroll and Leima Davidovitz
Divisions: STICERD
Subjects: H Social Sciences > HB Economic Theory
JEL classification: D - Microeconomics > D7 - Analysis of Collective Decision-Making > D71 - Social Choice; Clubs; Committees; Associations
D - Microeconomics > D6 - Welfare Economics > D63 - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
Date Deposited: 07 Jul 2008 10:56
Last Modified: 15 Sep 2023 22:47
URI: http://eprints.lse.ac.uk/id/eprint/6582

Actions (login required)

View Item View Item

Downloads

Downloads per month over past year

View more statistics