S/P/301. "The Pareto welfare criterion requires that welfare improvements for some are not achieved at the expense of damages to others. As it is impossible to imagine any change that does not reduce somebody's welfare the criterion is useless for policy purposes”. Discuss

The paper examines a decision-making tool known as Pareto principle ("80/20 Rule") and discussing whether the improvement in welfare of one or more individuals should necessarily adversely affect the welfare of others. Government actions to ensure equal distribution of resources are discussed with references to academic opinions on the welfare criterion.