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Fairness and Utilitarianism without Independence

Sinong Ma and Zvi Safra
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Sinong Ma: University of Warwick
Zvi Safra: University of Warwick (Emeritus, Tel Aviv University)

CRETA Online Discussion Paper Series from Centre for Research in Economic Theory and its Applications CRETA

Abstract: In this work we reconsider Harsanyi?s celebrated (1953, 1955, 1977) utilitarian impartial observer theorem. Departing from Harsanyi?s individual-centered approach, we argue that, when societal decisions are at stake, postulates must not be drawn from individualistic behavior. Rather, they should be based on societal norms. Hence, notions like societal fairness should explicitly be taken as the guiding principles. Continuing this line of thinking, we state and prove a utilitarian result that, rather than the independence assumption, is based on the notion of procedural fairness and on similar treatment of societal and individual lotteries.

Date: 2016
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