Distributional weight

By:
Updated: Aug 20, 2021

The relative importance given to different memeberrs of a society in the evaluation nof social welfare.

Distributional weight

For the utilitarian social welfare function all the distributional weights are equal and are usually normalized to 1. For the Rawlsian, or maximin, social welfare function the distributional weights are equal to 0 for all consumers except the consumer with lowest utility level who is assigned a weight of 1.

Reference: Oxford Press Dictonary of Economics, 5th edt.



Sources & references
Risk disclaimer
James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.