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G. Stigler, “The New Welfare Economics,” American Economic Review, Vol. 33, No. 2, 1943, pp. 335-359.

has been cited by the following article:

• TITLE: Theft and Welfare in General Equilibrium: A Theoretical Note

  AUTHORS: Thomas Randolph Beard, George S. Ford, Liliana V. Stern, Michael L. Stern

  KEYWORDS: General Equilibrium; Theft; Efficiency

  JOURNAL NAME: Theoretical Economics Letters, Vol.2 No.5, December 27, 2012

  ABSTRACT: We show that in a dynamic general equilibrium model theft lowers social welfare even if it is costless to steal, there is no theft prevention cost, and all stolen goods are immediately returned to society. Theft lowers social welfare because it distorts the investment decision, resulting in undercapitalization and a lower steady-state level of capital. This sheds a new light on the literature originated by Tullock [1].