Hicks–Kaldor compensation criterion

Target entity: Hicks–Kaldor compensation criterion
Context triple: [John R. Hicks, knownFor, Hicks–Kaldor compensation criterion]

• A. Pareto efficiency
  Pareto efficiency is an economic concept describing an allocation of resources where no individual can be made better off without making someone else worse off.
• B. Coase theorem
  The Coase theorem is an economic theory stating that if property rights are well-defined and transaction costs are negligible, private bargaining will lead to an efficient allocation of resources regardless of the initial assignment of rights.
• C. The Economics of Welfare
  The Economics of Welfare is a foundational 1920 economics treatise by Arthur Cecil Pigou that systematically develops welfare economics and the concept of externalities to analyze the role of government in correcting market failures.
• D. On the Theory of Economic Policy
  On the Theory of Economic Policy is a foundational work in economics by Jan Tinbergen that systematically analyzes how governments can design and coordinate economic policies using formal models and quantitative methods.
• E. Ricardian equivalence
  Ricardian equivalence is an economic theory proposing that consumers anticipate future taxes implied by government borrowing and therefore adjust their saving so that deficit-financed tax cuts do not affect overall demand.
• F. None of above. chosen
• G. Unsure - the case is ambiguous/there is not enough information to decide.

Target entity: Hicks–Kaldor compensation criterion
Target entity description: The Hicks–Kaldor compensation criterion is an economic efficiency test stating that a policy change is desirable if those who gain could in principle compensate those who lose and still be better off, regardless of whether compensation actually occurs.

• A. Pareto efficiency
  Pareto efficiency is an economic concept describing an allocation of resources where no individual can be made better off without making someone else worse off.
• B. Coase theorem
  The Coase theorem is an economic theory stating that if property rights are well-defined and transaction costs are negligible, private bargaining will lead to an efficient allocation of resources regardless of the initial assignment of rights.
• C. The Economics of Welfare
  The Economics of Welfare is a foundational 1920 economics treatise by Arthur Cecil Pigou that systematically develops welfare economics and the concept of externalities to analyze the role of government in correcting market failures.
• D. On the Theory of Economic Policy
  On the Theory of Economic Policy is a foundational work in economics by Jan Tinbergen that systematically analyzes how governments can design and coordinate economic policies using formal models and quantitative methods.
• E. Ricardian equivalence
  Ricardian equivalence is an economic theory proposing that consumers anticipate future taxes implied by government borrowing and therefore adjust their saving so that deficit-financed tax cuts do not affect overall demand.
• F. None of above. chosen