Publication Date

12-2016

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Technical Report: UTEP-CS-16-104

Abstract

Traditional approach to group decision making in economics is to maximize the GDP, i.e., the overall gain. The hope behind this approach is that the increased wealth will trickle down to everyone. Sometimes, this happens, but often, in spite of an increase in overall GDP, inequality remains: some people remain poor, some groups continue to face economic discrimination, etc. This shows that maximizing the overall gain is probably not always the best criterion in group decision making. In this chapter, we find a group decision making criterion which is optimal (in some reasonable sense), and we show that using this optimal criterion can indeed help to decrease poverty, inequality, and discrimination.

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