Kaldor-Hicks improvement

English

Etymology

Named for Nicholas Kaldor and John Hicks.

Noun

Kaldor-Hicks improvement (plural Kaldor-Hicks improvements)

1. (economics) An economic reallocation of resources among people, such that those who are made better off could hypothetically compensate those who are made worse off and lead to a Pareto-improving outcome.

Related terms

• Kaldor-Hicks criterion
• Kaldor-Hicks efficiency
• Kaldor-Hicks efficient