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Informational Requirements for Social Choice in Economic Environments

Author

Listed:
  • Fleurbaey, Marc
  • Suzumura, Kotaro
  • 鈴村, 興太郎
  • Tadenuma, Koichi
  • 蓼沼, 宏一

Abstract

Arrow's celebrated theorem shows that the aggregation of individuals' preferences into a social ordering cannot make the ranking of any pair of alternatives depend only on individuals' preferences over that pair, unless the fundamental Pareto and non-dictatorship principles are violated. In a unified approach covering the theory of social choice and the theory of fair allocation, we investigate how much information is needed to rank a pair of allocations by social ordering functions and by allocation rules satisfying the Pareto principle and anonymity. In the standard model of division of commodities, we show that knowledge of a good portion of indifference hypersurfaces is needed for social ordering functions, whereas allocation rules require only knowledge of marginal rates of substitution.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Fleurbaey, Marc & Suzumura, Kotaro & 鈴村, 興太郎 & Tadenuma, Koichi & 蓼沼, 宏一, 2000. "Informational Requirements for Social Choice in Economic Environments," Discussion Papers 2000-07, Graduate School of Economics, Hitotsubashi University.
    • Handle: RePEc:hit:econdp:2000-07
    Note: This version: November 2000 (First Version: January 2000)
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    File URL: https://hit-u.repo.nii.ac.jp/record/2052433/files/070econDP00-07.pdf
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    References listed on IDEAS

    as
    1. LeBreton, M., 1994. "Arrovian Social Choice on Economic Domains," G.R.E.Q.A.M. 94a37, Universite Aix-Marseille III.
    2. Michel Breton, 1997. "Arrovian Social Choice on Economic Domains," International Economic Association Series, in: Kenneth J. Arrow & Amartya Sen & Kotaro Suzumura (ed.), Social Choice Re-examined, chapter 4, pages 72-96, Palgrave Macmillan.
    3. Claude D'Aspremont & Louis Gevers, 1977. "Equity and the Informational Basis of Collective Choice," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 44(2), pages 199-209.
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    Cited by:

    1. Marc Fleurbaey, 2000. "Choix social : une difficulté et de multiples possibilités," Revue Économique, Programme National Persée, vol. 51(5), pages 1215-1232.
    2. Marc Fleurbaey & François Maniquet, 2006. "Fair Income Tax," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 73(1), pages 55-83.

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    More about this item

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations

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