The Better Judgment Hypothesis

welfare. Among other things, this given taste assumption provided them with a norm for appraising resource allocation. Not only was this assumption useful, but it probably corresponded reasonably closely with the realities of the Classicists' times. Consumer items were rather simple technologically. A sufficient volume of household production occurred to enable families generally to acquire skills adequate for ap? praising whatever consumer goods appeared on the market and sales promotional techniques for influencing tastes were very primitive. Since those days many changes have occurred. Household produc? tion has virtually ceased, consumer items have become much more com? plex and sales promotional techniques have developed tremendously. As monopolistic-competition theory brings out, the given taste as? sumption no longer seems to accord with reality. Thus, economists have lost one of their most important norms for welfare appraisal. The purpose of this paper is to suggest a reformulation of the given taste assumption, which will be in accord with the realities of our times and in harmony with Catholic doctrine. This reformulation will be referred to as the better judgment hypothesis. Statement of the Hypothesis

Consumer welfare · Doctrine · Economics · Harmony (color) · Market economy · Microeconomics · Monopolistic competition · Monopoly · Norm (philosophy) · Political science · Positive economics · Statement (logic) · Taste · Welfare · Economic Theory and Institutions · Law · Psychology