Unequal uncertainties and uncertain inequalities: an axiomatic approach (Q1877167)

The so-called timing effect in social choice problems is considered. The question is: the outcome of an allocation procedure depends on whether individuals' utility levels are evaluated before or after the resolution of uncertainty? Here, it is proved that several reasonable assumptions regarding welfare orderings under an uncertainty rule out pure before evaluations as well as pure after evaluations. Axiomatic characterizations of social welfare functions for uncertain incomes as well of the weighted average of the minimum and the maximum of the after and before evaluations are provided.