Need help with this two problems 1. For each of the following social choice methods, which of Arrow’s axioms (A1-6) are violated, and why: a. the Pareto criterion b. plurality-rule voting (of several choices, the one with the most votes wins) c. majority-rule voting3. Assume a city of 1,000,000 people, 60% of whom are willing to pay $1 maximum (each) to clean up pollution. The rest of the population is wealthier and is willing to pay $100 each to clean up pollution. Pollution clean-up costs $2,000,000. It has been proposed that each person be taxed equally to pay for the pollution clean-up. Will that pass a majority-rule vote? Is it desirable from the point of view of the Pareto criterion? Is it a good idea, using the compensation principle? Which social choice mechanism do you think is best on intuitive grounds, and why?

You have posted two independent questions. According to our guidelines, only the subparts of the…

1. For each of the following social choice methods, which of Arrow's axioms (A1-6) are violated, and why: a. the Pareto criterion b. plurality-rule voting (of several choices, the one with the most votes wins) c. majority-rule voting

1. For each of the following social choice methods, which of Arrow's axioms (A1-6) are violated, and why: a. the Pareto criterion b. plurality-rule voting (of several choices, the one with the most votes wins) c. majority-rule voting

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: What is the Benefit-Cost Analysis?

A: A Benefit-cost analysis which is also known as a cost-benefit analysis is used to predict the costs…

Q: What will happen if you make the underground economy legal?

A: Underground economy is the economic activities which are beyond the reach of tax regulators and…

Q: What roles do planning systems play?

A: The planning system is responsible for the administration, control, and regulation of development in…

Q: What happens if you make the underground economy legal?

A: Underground economy is the economic activities which are beyond the reach of tax regulators and…

Q: Explain the forces surrounding defense and research spending in the US. How would you change it to…

A: The issue of defense and research spending in the US is complicated and involves many factors,…

Q: How did computers and communications impact the global economy?

A: Answer - Global Economy:- It is addition of the all the domestic economy is termed as the global…

Q: Network externalities are important for a. gas stations. b. AARP, an organization that advocates for…

A: Network externality refers to the positive or negative impact that society experiences from the…

Q: On what are the Economic decisions based?

A: Economic decisions are the decisions made by the economic agents to pursue a goal and achieve a…

Q: What type of economy is best?

A: There are mainly four types of economic systems: Traditional economic system, command economic…

Q: (Collusion and Cartels) Use revenue and cost curves to illustrate and explain the sense in which a…

A: Hello. Since you have posted multiple questions and not specified which question needs to be solved,…

Q: How the study of history of economics help people in their daily life

A: Economics is related to many aspects of the world. Various countries in the world are carrying out…

Q: How do I solve the following problem?

A: We will use profit maximisation techniques to solve this question.

Q: Two friends are competing to see who can see the most Christmas lights in the month of December.…

A: At the marketplace, firms compete with each other to gain profit and the total output supplied or…

Q: T or F Everything we do has its opportunity cost. Why?

A: In economics, it is necessary to choose between several products because resources are limited in…

Q: Why are people closest to local government?

Q: Write the types of Strategic Engineering Economic Decisions?

A: According to the engineering economic decision, all the investment decisions are related to…

Q: How can project effectiveness apply to consumers?

A: Project effectiveness is simply when the project is being done on time and with least cost. It is…

Q: how do i put this question in exel?

A: Market equilibrium: At the market equilibrium demand equals supply. Or at market equilibrium point…

Q: What are the major industries in Canada

A: Canada has sizeable industries including automobile, aircraft, energy, power, and technological…

Q: What is a cooperative? What are the types of cooperatives?

A: A cooperative (also known as a co-operative, co-op, or coop) is "an autonomous group of persons who…

Q: What can affect the prioritization of economic goals.

A: The objective of economic effectiveness has been characterized as the most elevated conceivable…

Q: Importance of rules in our society

A: Rules are guidelines that people living under a government must observe. Families and residents must…

Q: Can personal ethics be construed as the same as professional ethics?

A: Combined economics with ethics, economic ethics is a value judgment-based approach to economic…

Q: What is the biggest industry today.

A: An industry is known as the branch of economy that produces raw material, goods, or other services…

Q: How would you use Product Placement and Advergaming to promote Tourism in Pakistan?

A: Product placement is a marketing strategy where references to specific brands or products are…

Q: all be placed?

A: A good field goal kicker could make the difference in between losing and winning.

Q: What Is Cost-Effectiveness Measures?

A: Cost(C) is an important component of production. The ‘cost of production’ refers to the total…

Q: what is the difference between an opportunity and a threat

A: In economics, producers have to deal with various market uncertainties that can positively or…

Q: Discuss how conflict can Manifest itself.

A: The conflict between employees in the workplace is fairly prevalent, even in small businesses. Even…

Q: Why do people engage in white- collar crimes?

A: Confirmation bias is a cognitive bias where individuals seek, interpret, and remember information in…

Q: What is your opportunity cost for taking the time to study for a test?

A: opportunity cost is the cost of the next best alternative foregone. It is calculated by comparing…

Q: what insights or learning you have gotten from the topic "Imitationism" (Idealism by Plato).

A: According to him art is an imitation of life and idea is the ultimate reality. He states that art…

Q: How does self interest affect societal interest?

Question

Need help with this two problems

1. For each of the following social choice methods, which of Arrow’s axioms (A1-6) are violated, and why:
a. the Pareto criterion
b. plurality-rule voting (of several choices, the one with the most votes wins)
c. majority-rule voting

3. Assume a city of 1,000,000 people, 60% of whom are willing to pay $1 maximum (each) to clean up pollution. The rest of the population is wealthier and is willing to pay $100 each to clean up pollution. Pollution clean-up costs $2,000,000. It has been proposed that each person be taxed equally to pay for the pollution clean-up. Will that pass a majority-rule vote? Is it desirable from the point of view of the Pareto criterion? Is it a good idea, using the compensation principle? Which social choice mechanism do you think is best on intuitive grounds, and why?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1: Write an introduction

VIEW

Step 2: a) Analyze the Pareto criterion in association with Arrow's axiom

VIEW

Step 3: b) Analyze the plurality-rule voting in association with Arrow's axiom

VIEW

Step 4: c) Analyze the majority-rule voting in association with Arrow's axiom

VIEW

Solution

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 5 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Trying to figure out?
Give two examples of opportunity one can face today
What products in your home that gives you social benefits and economic benefits? Give at least 2 examples each and explain why did you classify them as such.
Answer this question
What part of the population are farmers and nomads in afghanistan
Historically, how have the three sectors evolved?
Why do you think there is a need to use communication strategies?
Why underground economy is bad?
What is not a means or medium of communication?
Give typing answer with explanation and conclusion what type of charity work does Ford Motor Company do? What drives them?
Intranets allows people outside the organization to exchange information and work on projects. Select one: Truex False