Concepts of Extended Preference

This paper remedies ambiguity in the discussion of interdependent preferences by developing a consistent set of distinctions, which span the full range of sympathetic and antipathetic interaction, for the two-person case without reactive behavior. It defines concepts such as benevolence, generosity, altruism, destructiveness, and willingness to begrrudge transfers to others and indicates how their use can clarify the discussion of economic behavior. The definitions take account of preferences (indicated by rates of substitution) and prices (indicated by rates of exchange) at critical income allocations.