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Governmental Regulations Requiring Anti-Pollution Devices on Automobiles Result in a Decrease

question 71

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Governmental regulations requiring anti-pollution devices on automobiles result in a decrease in the demand for automobiles and an increase in pricE.


Definitions:

Transitive Preferences

A condition in decision-making where if an individual prefers option A over B, and B over C, then the individual also prefers A over C.

Condorcet

A method of decision making, named after the French mathematician Marquis de Condorcet, that identifies the option that would win a majority of votes in all possible pairings against each of the other options.

Social Choice and Individual Values

A concept in welfare economics and political science that examines how to aggregate individual preferences, values, or welfare to reach collective decisions.

Condorcet Paradox

The failure of majority rule to produce transitive preferences for society.

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