Connecting and Resolving Sen's and Arrow's Theorems

Donald G. Saari

No 1132, Discussion Papers from Northwestern University, Center for Mathematical Studies in Economics and Management Science

Abstract: As shown, the source of Sen's and Arrow's impossibility theorems is that Sen's Liberal condition and Arrow's IIA counter the critical assumption that voters' have transitive preferences. As this allows transitive and certain cyclic preferences to become indistinguishable, the Pareto condition forces cycles. Once the common cause of these perplexing conclusions is understood, resolutions are immediate.

Date: 1995-06
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