@TechReport{iza:izadps:dp13662, author={Stark, Oded}, title={An Economics-Based Rationale for the Rawlsian Social Welfare Program}, year={2020}, month={Sep}, institution={Institute of Labor Economics (IZA)}, address={Bonn}, type={IZA Discussion Paper}, number={13662}, url={https://www.iza.org/publications/dp13662}, abstract={We show that a social planner who seeks to allocate a given sum in order to reduce efficiently the social stress of a population, as measured by the aggregate relative deprivation of the population, pursues a disbursement procedure that is identical to the procedure adhered to by a Rawlsian social planner who seeks to allocate the same sum in order to maximize the Rawlsian maximin-based social welfare function. Thus, the constrained minimization of aggregate relative deprivation constitutes an economics-based rationale for the philosophy-based constrained maximization of the Rawlsian social welfare function.}, keywords={congruence of the algorithm with the Rawlsian social welfare program;Rawlsian social welfare function;social stress;aggregate relative deprivation (ARD);an algorithm of cost-effective policy response to ARD}, }