I have shown that when we shift from perfect traditional market thinking to higher level market thinking, the arrow impossibility theorem is left behind, so the question:
The arrow impossibility theorem does not work in higher level paradigms like perfect green markets or perfect sustainability markets or perfect red markets, do you know why?
Good day Amar, how you ever read/seen the following 2016 article:
The Unintended Consequences of Paradigm Death and Shift: Was the Arrow Impossibility Theorem Left Behind?
Article The Unintended Consequences of Paradigm Death and Shift: Was...
You will find some good food for thoughts and the answer in it.
Thank you for reacting
Respectfully yours;
Lucio
You can also find that article here:
The Unintended Consequences of Paradigm Death and Shift: Was the Arrow Impossibility Theorem Left Behind?
Academia site: Article The Unintended Consequences of Paradigm Death and Shift: Was...
True sustainability site: https://www.truesustainability.com/ART93.pdf
Arrow’s Impossibility Theorem doesn’t quite fit when we’re talking about green, sustainable, or even morally complex (red) markets because the way people make decisions in these areas or around is different from traditional economics.
In these markets:
First, People care about more than just what benefits them personally; they consider the environment, society, and future generations as it's often considered in business execution (CSR).
Secondly, The choices of the people are connected viz, what one person chooses can affect everyone else, so decisions aren’t made in isolation.
Furthermore, Opinions and values can change.Someone might care more about price today but prioritize sustainability tomorrow.
Similarly, Not all options are acceptable. Even if majority wants something harmful, ethical rules might say “no.”
Lastly, decisions aren’t just about voting, people often talk things through, build consensus, and try to do what’s right, not just what’s most popular.
So, Arrow’s theorem is brilliant for simple systems, but it falls short when human values, ethics, and interconnected choices come into play.
Simon, thank you for writing. If you take the time to read the article you will see there is a simple academic reason why that is the case.
Respectfully yours;
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