Consider a society that has three individuals-1,2 and 3- and three alternatives
ID: 1096738 • Letter: C
Question
Consider a society that has three individuals-1,2 and 3- and three alternatives -x,y and z-. The society has a preference aggregation rule F.
It is known that the rule F satisfies Completeness, Transitivity, Anonymity, Unanimity and Independence of Irrelevant Alternatives. Also, in year 2007, F ranked x strictly above y.
Now, we are in year 2008. The individual preferences have changed to:
(a) How does the society rank between y and x in 2008? Why?
(b) How does the society rank between x and z in 2008? Why?
(c) How does the society rank between y and z in 2008? Why?
(d) What were the social preferences over all three alternatives in 2007?
1 2 3 x y z y z y z x xExplanation / Answer
a.
For 1 : z>x>y
For 2 : y>z>x
For 3 : y>z>x
As you can see out of 3, 2 prefer y over x.
b.
As you can see all three prefer z over x.
c.
Again 2 out of 3 prefer y over z.
d.
In the year 2007, there is no clear cut preference over who prefers whom.