Posted by: zalimSingh January 25, 2006
Ashu, Nepe, and Arrow
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the answer is no, of course. this is what i think... the main source of the paradox is that preferences are not cardinal. if there were an absolute measure of utility (perhaps something what teh communists say, like everyone shoud prefer this to that..), the problem would not arise. say X=1 and Y=2 and Z=3 and that the numbers represent absolute utilities for everyone in society. . In this scenario, the preference structure you listed above would never arise, and it is possible to make a clear choice that maximizes society's welfare, serves the majority, and also maximizes each individual's welbeing. the solution is obvious. now the problem in real life is that utilities vary. i may like a red car more than a green car. and someone may prefer a green car to a red car. hence the paradox...
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