 
Hi
today we will be discussing classical
social welfare function.
The classical social welfare function was
introduced by economists like
Jeremy Bentham, A C Pigou
and Alfred Marshall. The
peculiarity of classical social welfare
function is that it is based upon the
concept of cardinal utility
That means utility can be measured cardinally
The social welfare function is
simply the addition of all
the cardinal utilities derived from
all the individuals in the society
It simply means that when we add the
individual
utilities of all the members in the society we can
can have the social welfare function. That means
for example there are different or
many individuals in a society
and when we add the
utilities of each and every individuals
in particular society of all together
you can derive the social welfare function.
So this is the basic idea of
classical social welfare function. As per
the classical social welfare function
each and every society is aiming at
maximizing the social welfare
That means every economy or every society
in the world is working for maximizing
the Welfare of the members of the society.
Another important feature of classical social
welfare function is that
it is based upon the concept of diminishing
marginal utility of money or
income
That means when you are getting more and
more income the additional utility
derived from additional income
which you are getting will be goes on diminishing
So as I told you the aim of every economy
is to maximize the Welfare of
its citizens
So this maximum social welfare
can be attained with one and only
method of equal distribution of income
which is another important feature of classical social
welfare function
So these are the basic ideas regarding
classical social welfare function
Hope you got some idea regarding classical social
welfare function. Thank you.
