Are there economic works that challenge the notion of Pareto improvement/optimality as inherently good and propose a different principle of efficiency?

An alternative approach could prioritize maximizing economic opportunities for people over preference satisfaction. The advantage of opportunities is that interpersonal comparisons are possible, unlike preference satisfaction.

@economics_that_works

#economics #SocialChoiceTheory #econ #PoliticalEconomy #philosophy #ethics

"We should think of the methods [of voting], I believe, simply as convenient ways of doing business, useful but flawed. This gives them all a place in the world, but it makes none of them sacrosanct."
- Liberalism Against Populism: A Confrontation Between the Theory of Democracy and the Theory of Social Choice
by William H. Riker

Powerful! I don't think this idea is widely accepted yet. But I think it helps to make sense of the difficulties democracies are having around the world.

#socialChoiceTheory
#votingMethods

I’d like to share some thoughts on a fascinating topic: why democracy—as a decision-making process—is, in a strict mathematical sense, impossible when you have more than one participant. This idea has been influentially formalized in Arrow’s Impossibility Theorem, which provides a set of criteria that any fair voting system should ideally meet. Unfortunately, Arrow’s work—and many subsequent proofs by scholars like Yu, Geanakoplos, and others—shows that no voting method can perfectly satisfy all these fairness criteria simultaneously when converting individual preferences into a collective decision.

In a nutshell, the theorem illustrates that when voters rank multiple options, trying to find a method that always reflects individual values, maintains consistency, and respects collective rationality leads to an inherent contradiction. For instance, one of the key issues is that any system must sometimes arbitrarily privilege one candidate over another based on small shifts in voter preferences. This phenomenon can even lead to paradoxical outcomes where, for example, a supposedly “more democratic” decision ends up being self-defeating.

These findings do not mean that democracy is unworkable—in fact, democratic systems have evolved to accommodate human imperfections. The mathematical impossibility points out a trade-off: all voting systems have built-in limitations, no matter how sophisticated they are. In our modern, high-information society, there’s a growing opportunity to refine our methods (think of innovations like ranked-choice voting, liquid democracy, or even sortition-based approaches) to better capture the complex voice of a diverse populace.

If you’re curious to delve deeper into these ideas, I highly recommend checking out the TED Talk by Alex Gendler, “Which Voting System Is the Best?” It offers a really approachable introduction to the subject. Additionally, there’s a treasure trove of academic work on Arrow’s theorem and its implications available through resources like this video https://youtu.be/qf7ws2DF-zk by Veritasium and various research papers (by Maskin, Sen, Black, and others) that explore the nuances of social choice theory.
Ultimately, while democracy might be “mathematically impossible” to perfect, engaging with these ideas can help us understand our systems better and inspire innovations that move us closer to fairer, more representative governance. It’s a reminder that striving for improvements—even in imperfect systems—is both necessary and worthwhile.

Additionally, I recommend checking out the French-speaking channel Science4All, which has produced a great series exploring the theoretical and mathematical concepts behind democratic election systems. Their video “Le scrutin de Condorcet randomisé | Démocratie 5” (https://youtu.be/wKimU8jy2a8?list=PLtzmb84AoqRSmv5o-eFNb3i9z64IuOjdX) offers, in my opinion, one of the best explanations of Condorcet elections—a perfect launchpad if you decide to take a deeper dive into these topics.

#Democracy #SocialChoiceTheory #VotingSystems #ArrowsTheorem #CondorcetMethod #PoliticalInnovation #CivicEngagement

Why #Democracy is Mathematically Impossible

https://youtu.be/qf7ws2DF-zk

#elections #voting #SocialChoiceTheory #SocialChoice #economics #politics #utilitarianism #utilitarian #GameTheory