6)Consider the following voting problem: there are 3 alternatives A, B, and C. There are 3...

6)Consider the following voting problem: there are 3 alternatives A, B, and C. There are 3 voters whose preferences are as follows:

Voter 1: A > B > C

Voter 2: B > C > A

Voter 3: C > A > B

The voting procedure is as follows: first A competes with B and then the winner competes with C.

If voters are strategic what is the voting outcome? Who will each voter vote for in the first stage?

Expert Solution

According to the consumer preference theory the subjective taste of a consumer is based on the amount of satisfaction they derive from a commodity, so if a consumer has three comodities A, B, and C, and they prefer A over B and B over C they'll rationally prefer A over C.

so in the question, voter 1 prefers candidate A over B and B over C so if there are only two candidates A and C the voter will prefer A over C.

Voter 2 prefers candidate B over C and C over A, therefore, he'll also prefer B over A.

Likewise Voter 3 prefers candidate C over A and A over B, thus he'll prefer C over A.

Now, according to the voting procedure only candidate A and B compete in the first round, thus voter 1 will vote for candidate A, voter 2 will vote for candidate B and voter 3 will vote for candidate A rationally considering their level of satisfaction, therefore candidate A wins the first round with 2 votes.

Now, for round 2 candidate C and the winner of the first round candidate A compete against each other.. here voter 1 votes for candidate A, voter 2 votes for candidate C and voter 3 votes for candidate C.

Thus the winner of round two will be candidate C with 2 votes.

Answer: If voters are strategic the voting outcome is that candidate C wins the elections. And in the winner for round 1 will be candidate A

Rahul Sunny answered 7 months ago

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