Arrovian impossibilities in aggregating preferences over non-resolute outcomes

Abstract

Let A be a set of alternatives whose power set is A. Elements of A are interpreted as non-resolute outcomes. We consider the aggregation of preference profiles over A into a (social) preference over A. In case we allow individuals to have any complete and transitive preference over A, Arrow's impossibility theorem naturally applies. However, the Arrovian impossibility prevails, even when the set of admissible preferences over A is severely restricted. In fact, we identify a mild "regularity" condition which ensures the dictatoriality of a domain. Regularity is compatible with almost all standard extension axioms of the literature. Thus, we interpret our results as the strong prevalence of Arrow's impossibility theorem in aggregating preferences over non-resolute outcomes. © 2007 Springer-Verlag.