# Welfare function

**the welfare function** is a characteristic number suggested by Amartya Sen.

Welfare function = gross national income × (1 - unequal distribution coefficient)

as unequal distribution coefficient can be consulted for example the Gini coefficient, which was determined for the unequal distribution of the incomes in a country. Suitably also every other relative unequal distribution coefficient, the values is in the range between 0 and 1 (and/or. 0% and 100%) to assume can. James E. Foster (S. Literature) suggested for example the Atkinson coefficient ( an entropy measure).

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## literature

- Amartya Sen:
*On Economic Inequality - expanded edition with substantial annexes by James E. Foster and Amartya Sen*, 1973/1996, ISBN 0-19-828193-5