IDEAS home Printed from https://ideas.repec.org/a/kap/copoec/v28y2017i3d10.1007_s10602-016-9227-5.html
   My bibliography  Save this article

Normative economics and paternalism: the problem with the preference-satisfaction account of welfare

Author

Listed:
  • Cyril Hédoin

    (University of Reims Champagne-Ardenne)

Abstract

The normative turn of behavioral economics has led to a reconsideration of paternalism in normative economics. This article argues however that the preference-satisfaction account of welfare that still dominates welfare economics makes impossible to account for all the dimensions of the debate over paternalism. The laundered preferences approach and the alternative selves approach are two available frameworks to reconcile the consumer sovereignty principle that underlies the preference-satisfaction account with the fact that preferences are endogenous and context-dependent. I show however that neither of them is able to account for autonomy-related issues which are central in current debates over “soft” or “libertarian” paternalism. I suggest that a justification of paternalism compatible with liberal principles depends on the ability for reasonable persons to voluntarily consent to a collective choice rule with paternalistic tendencies. This argument relies on a distinction between preferences (which can be attached to other entities than persons) and values which is unknown to welfare economics.

Suggested Citation

  • Cyril Hédoin, 2017. "Normative economics and paternalism: the problem with the preference-satisfaction account of welfare," Constitutional Political Economy, Springer, vol. 28(3), pages 286-310, September.
    • Handle: RePEc:kap:copoec:v:28:y:2017:i:3:d:10.1007_s10602-016-9227-5
    DOI: 10.1007/s10602-016-9227-5
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10602-016-9227-5
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10602-016-9227-5?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Robert Sugden, 2004. "The Opportunity Criterion: Consumer Sovereignty Without the Assumption of Coherent Preferences," American Economic Review, American Economic Association, vol. 94(4), pages 1014-1033, September.
    2. Sen, Amartya Kumar, 1970. "The Impossibility of a Paretian Liberal," Scholarly Articles 3612779, Harvard University Department of Economics.
    3. B. Douglas Bernheim, 2009. "Behavioral Welfare Economics," Journal of the European Economic Association, MIT Press, vol. 7(2-3), pages 267-319, 04-05.
    4. Sen, Amartya, 1970. "The Impossibility of a Paretian Liberal," Journal of Political Economy, University of Chicago Press, vol. 78(1), pages 152-157, Jan.-Feb..
    5. Amartya Sen, 1997. "Maximization and the Act of Choice," Econometrica, Econometric Society, vol. 65(4), pages 745-780, July.
    6. Blackorby,Charles & Bossert,Walter & Donaldson,David J., 2005. "Population Issues in Social Choice Theory, Welfare Economics, and Ethics," Cambridge Books, Cambridge University Press, number 9780521532587, September.
    7. John C. Harsanyi, 1996. "Utilities, preferences, and substantive goods," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 14(1), pages 129-145.
    8. R. H. Strotz, 1955. "Myopia and Inconsistency in Dynamic Utility Maximization," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 23(3), pages 165-180.
    9. Mozaffar Qizilbash, 2012. "Informed desire and the ambitions of libertarian paternalism," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 38(4), pages 647-658, April.
    10. B. Douglas Bernheim & Antonio Rangel, 2009. "Beyond Revealed Preference: Choice-Theoretic Foundations for Behavioral Welfare Economics," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 124(1), pages 51-104.
    11. Hausman,Daniel M. & McPherson,Michael S., 2006. "Economic Analysis, Moral Philosophy and Public Policy," Cambridge Books, Cambridge University Press, number 9780521608664, December.
    12. W. M. Gorman, 1968. "The Structure of Utility Functions," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 35(4), pages 367-390.
    13. Richard H. Thaler & Cass R. Sunstein, 2023. "Libertarian paternalism," Chapters, in: Cass R. Sunstein & Lucia A. Reisch (ed.), Research Handbook on Nudges and Society, chapter 1, pages 10-16, Edward Elgar Publishing.
    14. Jose-Luis Pinto-Prades & Jose-Maria Abellan-Perpiñan, 2012. "When normative and descriptive diverge: how to bridge the difference," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 38(4), pages 569-584, April.
    15. Sen, Amartya, 1993. "Internal Consistency of Choice," Econometrica, Econometric Society, vol. 61(3), pages 495-521, May.
    16. Bhattacharyya, Aditi & Pattanaik, Prasanta K. & Xu, Yongsheng, 2011. "Choice, Internal Consistency And Rationality," Economics and Philosophy, Cambridge University Press, vol. 27(2), pages 123-149, July.
    17. John C. Harsanyi, 1953. "Cardinal Utility in Welfare Economics and in the Theory of Risk-taking," Journal of Political Economy, University of Chicago Press, vol. 61(5), pages 434-434.
    18. Robert Sugden, 2008. "Why incoherent preferences do not justify paternalism," Constitutional Political Economy, Springer, vol. 19(3), pages 226-248, September.
    19. repec:bla:econom:v:52:y:1985:i:206:p:167-83 is not listed on IDEAS
    20. Don Ross, 2007. "Economic Theory and Cognitive Science: Microexplanation," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262681684, April.
    21. Hausman,Daniel M. & McPherson,Michael S., 2006. "Economic Analysis, Moral Philosophy and Public Policy," Cambridge Books, Cambridge University Press, number 9780521846295, September.
    22. Cowen, Tyler, 1993. "The Scope and Limits of Preference Sovereignty," Economics and Philosophy, Cambridge University Press, vol. 9(2), pages 253-269, October.
    23. Mozaffar Qizilbash, 2009. "Well-Being, Preference Formation and the Danger of Paternalism," Papers on Economics and Evolution 2009-18, Philipps University Marburg, Department of Geography.
    24. B. Douglas Bernheim & Antonio Rangel, 2007. "Toward Choice-Theoretic Foundations for Behavioral Welfare Economics," American Economic Review, American Economic Association, vol. 97(2), pages 464-470, May.
    25. Stigler, George J & Becker, Gary S, 1977. "De Gustibus Non Est Disputandum," American Economic Review, American Economic Association, vol. 67(2), pages 76-90, March.
    26. John C. Harsanyi, 1955. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparisons of Utility," Journal of Political Economy, University of Chicago Press, vol. 63(4), pages 309-309.
    27. Samuel Ferey, 2011. "Paternalisme libéral et pluralité du moi," Revue économique, Presses de Sciences-Po, vol. 62(4), pages 737-750.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Alexandre Chirat, 2020. "Démocratie de la demande versus démocratie de l’offre : Reconstruction et interprétation des analogies démocratie-marché," Working Papers 2020-10, CRESE.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Robert Sugden, 2011. "The behavioural economist and the social planner: to whom should behavioural welfare economics be addressed?," Papers on Economics and Evolution 2011-21, Philipps University Marburg, Department of Geography.
    2. Schubert, Christian, 2015. "Opportunity And Preference Learning," Economics and Philosophy, Cambridge University Press, vol. 31(2), pages 275-295, July.
    3. Jacobs Martin, 2016. "Accounting for Changing Tastes: Approaches to Explaining Unstable Individual Preferences," Review of Economics, De Gruyter, vol. 67(2), pages 121-183, August.
    4. Daniel Serra, 2019. "Neuroeconomics and modern neuroscience," CEE-M Working Papers halshs-02160907, CEE-M, Universtiy of Montpellier, CNRS, INRA, Montpellier SupAgro.
    5. Christian Schubert, 2021. "Opportunity meets self-constitution," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 68(1), pages 51-65, March.
    6. Mozaffar Qizilbash, 2019. "The market, utilitarianism and the corruption argument," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 66(1), pages 37-55, March.
    7. Guilhem Lecouteux & Ivan Mitrouchev, 2021. "The "View from Manywhere": Normative Economics with Context-Dependent Preferences," GREDEG Working Papers 2021-19, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    8. Ramzi Mabsout, 2022. "John Stuart Mill, soft paternalist," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 58(1), pages 161-186, January.
    9. Antoinette Baujard, 2016. "Utilitarianism and anti-utilitarianism," Chapters, in: Gilbert Faccarello & Heinz D. Kurz (ed.), Handbook on the History of Economic Analysis Volume III, chapter 40, pages 576-588, Edward Elgar Publishing.
    10. Markus Haavio & Kaisa Kotakorpi, 2012. "Sin Licenses Revisited," CESifo Working Paper Series 4010, CESifo.
    11. Schnellenbach, Jan & Schubert, Christian, 2015. "Behavioral political economy: A survey," European Journal of Political Economy, Elsevier, vol. 40(PB), pages 395-417.
    12. Ben McQuillin & Robert Sugden, 2012. "How the market responds to dynamically inconsistent preferences," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 38(4), pages 617-634, April.
    13. Dorian Jullien, 2018. "Under Risk, Over Time, Regarding Other People: Language and Rationality within Three Dimensions," Research in the History of Economic Thought and Methodology, in: Including a Symposium on Latin American Monetary Thought: Two Centuries in Search of Originality, volume 36, pages 119-155, Emerald Group Publishing Limited.
    14. Gerardo Infante & Guilhem Lecouteux & Robert Sugden, 2016. "Preference purification and the inner rational agent: a critique of the conventional wisdom of behavioural welfare economics," Journal of Economic Methodology, Taylor & Francis Journals, vol. 23(1), pages 1-25, March.
    15. Ben McQuillin & Robert Sugden, 2012. "Reconciling normative and behavioural economics: the problems to be solved," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 38(4), pages 553-567, April.
    16. M. Ali Khan & Metin Uyanık, 2021. "Topological connectedness and behavioral assumptions on preferences: a two-way relationship," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 71(2), pages 411-460, March.
    17. Roberto Fumagalli, 2016. "Decision sciences and the new case for paternalism: three welfare-related justificatory challenges," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 47(2), pages 459-480, August.
    18. Guilhem Lecouteux, 2020. "Welfare Economics in Large Worlds: Welfare and Public Policies in an Uncertain Environment," GREDEG Working Papers 2020-08, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    19. Guilhem Lecouteux & Ivan Mitrouchev, 2022. "Preference Purification in Behavioural Welfare Economics: an Impossibility Result," GREDEG Working Papers 2022-31, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    20. Aronsson, Thomas & Johansson-Stenman, Olof, 2011. "Animal Welfare and Social Decisions," Working Papers in Economics 485, University of Gothenburg, Department of Economics.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:copoec:v:28:y:2017:i:3:d:10.1007_s10602-016-9227-5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.