This outstanding text, a follow-up to the authors# award-winning 1982 text, provides a thorough treatment of economic welfare theory and develops a complete theoretical and empirical framework for applied project and policy evaluation. The authors illustrate how this theory can be used to develop policy analysis from both theory and estimation in a variety of areas including: international trade, the economics of technological change, agricultural economics, the economics of information, environmental economics, and the economics of extractive and renewable natural resources. ÍNDICE Contents: Preface 1. Introduction 2. Pareto Optimality and the Pareto Criterion 3. The Compensation Principle and the Welfare Function 4. Welfare Measurement for the Producer Appendix to Chapter 4: Alternative Measures of Producer Welfare in Factor and Product Markets 5. Consumer Surplus and Consumer Welfare Appendix to Chapter 5: Nonuniqueness of Consumer Surplus 6. Willingness to Pay and Consumer Welfare Appendix to Chapter 6: Welfare Measurement for Consumers 7. Factor Supply and Factor Owner Welfare Appendix to Chapter 7: Welfare Measurement for Factor Owners 8. Aggregation and Economic Welfare Analysis of Market-Oriented Policies Appendix to Chapter 8: Measurement of Aggregate Market Welfare 9. Multimarket Analysis and General Equilibrium Considerations Appendix to Chapter 9: Welfare Measures for Multimarket Equilibrium 10. The Welfare Economics of Market Structure with Applications to International Trade 11. The Welfare Economics of Information with Applications to Advertising and Information Policy Appendix to Chapter 11: Measuring the Welfare Effects of Quality and Information 12. Stochastic Welfare Economics with Applications to Agricultural Policy Analysis Appendix to Chapter 12: Producer Welfare Measurement under Risk 13. Nonmarket Welfare Measurement with Applications to Environmental Economic Policy 14. Intertemporal Considerations in Cost#Benefit Analysis with Applications