Gibbard-Satterthwaite theorem
Steve Eppley
seppley at alumni.caltech.edu
Sat Jan 4 17:23:55 PST 1997
Mike O. asked for someone to post the Gibbard-Satterthwaite theorem
about manipulability (voters gaining by misrepresenting their
preferences). Here's the version in Ordeshook's book.
I'd better include some definitions of terms:
O is the set of possible outcomes
Ri is the preference order of person i
R is the group's preference profile (R1, R2, ... Ri, ... Rn)
G(R,O) is the social choice function (i.e., the tally method)
"x Pi y" means "x is preferred more than y by person i"
Manipulability
--------------
The social choice function G(R,O) is manipulable if there exists
a preference profile R = (R1, ..., Rn) for the group
and at least one person i such that for some preference order Ri'
G((R1, ... Ri-1, Ri', Ri+1, ..., Rn), O) Pi G(R,O)
Gibbard-Satterthwaite
---------------------
If O contains more than two elements, and if G is nonmanipulable
and yields a single outcome as the social choice,
then G is a dictatorship.
The theorem is a consequence of Arrow's theorem. Proof is left as an
exercise for the reader. :-)
---Steve (Steve Eppley seppley at alumni.caltech.edu)
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