[EM] utilities, Gini, and lotteries
Forest W Simmons
fsimmons at pcc.edu
Tue Feb 27 09:51:11 PST 2007
Thanks to Jobst for clarifying the conditions under which various kinds
of individual and social utilities can be justified.
A most important idea is that for social utility the average of two
lotteries could have more utility than either lottery separately
because of the social value of having utility spread out instead of
concentrated.
This insight is especially important for Western democracies in which
great pains have been taken to caulk up all of the trickle down leaks.
As Jobst noted, this fact makes the usual plain average rating method
of range voting somewhat inappropriate for our democracies. He has in
fact justified the use of the Gini score which is a much more
appropriate kind of weighted average.
In the deterministic case this just means that we should use range
ballots and elect the candidate with the highest Gini score.
Of course, strategic voters would still vote at the range extremes, as
in approval strategy, though the pressure to do so would be less.
To make the lottery version computationally tractable, one would have
to limit the number of lotteries to certain standard combinations of
the candidates as well as any lotteries that are specifically nominated
before some cutoff date.
Indirectly through their range ballots the voters' individual utilities
for the various lotteries are inferred. Then the Gini scores for those
lotteries yield their respective social utilities.
Jobst and I happen to like lotteries as instruments of fairness and as
devices for foiling manipulation. But it should be pointed out, that
although his essay gives lotteries a central role, in that context it
is primarily a theoretical tool for showing the existence of meaningful
individual and social utilities in the presence of certain hypotheses
concerning binary preferences between lotteries.
I hope that these rremarks are helpful.
Forest
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