We show how to minimize the probability of misclassifying individuals as being poor or not poor when data on some of their relevant attributes are missing, but an estimate of the population distribution of attributes is available.

We give an objective meaning to the concept of taxable capacity and establish a theoretical link between Optimal Taxation Theory (OTT) and the proposals of the Carter and Meade Reports, solving at the same time Kay’s (2008) criticism to both approaches.

By now, there is a wide range of methods to construct multidimensional well-being indices, differing in the way they transform, aggregate and weight the relevant dimensions. This paper uses a fuzzy theory approach to propose a new weighting scheme for the dimensions. These weights play a crucial...

We perform development accounting in accordance with Weil (2005, 2007) in a cross-state analysis of India. Results of similar magnitude are found, demonstrating that health can account for 1% to 18% of income differences depending on the health measure.