In this paper we show that in a pure exchange economy where social weights and total resources are fixed there is no possibility to improve the social welfare by means of efficient reallocations of the resources. However, if social weights are not fixed but can be selected from a particular set,...

In this paper we analyze the rationality that sustains the public investments on white elephants applied to the construction of tourist facilities in Mexico. The main result of this paper is that there exist two kinds of rationalities in the construction of white elephants. One is a similar...