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Ordinal measurement

A fundamental result for tex2html_wrap_inline1055 says that if X is countable then there is a utility function tex2html_wrap_inline1253 such that

  equation842

if and only if tex2html_wrap_inline1051 on X is a weak order. In this case, u is unique up to an ordinal transformation. Sufficiency of weak order can be seen by enumerating the indifference classes in tex2html_wrap_inline1167 as tex2html_wrap_inline1265 , defining tex2html_wrap_inline1267 on tex2html_wrap_inline1167 by

displaymath1271

noting that tex2html_wrap_inline1273 if tex2html_wrap_inline1275 , and then defining u on X by tex2html_wrap_inline1281 whenever tex2html_wrap_inline1283 .

Weak order is not generally sufficient for (1) when tex2html_wrap_inline1167 is uncountable. For example, the linear order tex2html_wrap_inline1051 on tex2html_wrap_inline1289 defined by tex2html_wrap_inline1291 if tex2html_wrap_inline1293 or tex2html_wrap_inline1295 can be represented lexicographically as tex2html_wrap_inline1297 , where tex2html_wrap_inline1299 and tex2html_wrap_inline1301 denotes lexicographic order. But it cannot be represented by (1): otherwise, since tex2html_wrap_inline1303 whenever tex2html_wrap_inline1305 , every interval tex2html_wrap_inline1307 would contain a different rational number and yield the contradiction that the countable set of rational numbers is uncountable.

To obtain (1) when tex2html_wrap_inline1167 is uncountable, it needs to be assumed also that tex2html_wrap_inline1167 includes a countable subset that is tex2html_wrap_inline1173 -order dense in tex2html_wrap_inline1167 . By definition, tex2html_wrap_inline1317 is order dense in tex2html_wrap_inline1319 if, whenever tex2html_wrap_inline1321 for tex2html_wrap_inline1323 , there is a tex2html_wrap_inline1325 such that tex2html_wrap_inline1327 . Countable order denseness is often replaced in economic discussions by a sufficient but nonnecessary topological assumption which implies that u in (1) can defined to be continuous in the topology used for X.

Because (1) implies that tex2html_wrap_inline1051 is a weak order, it cannot hold when tex2html_wrap_inline1051 is acyclic or a partial order that is not also a weak order. We can, however, continue to use u to preserve tex2html_wrap_inline1051 one-way in the manner tex2html_wrap_inline1341 . We can also use the same u to fully preserve, by equality, the strong indifference relation tex2html_wrap_inline1345 on X defined by

displaymath1349

for tex2html_wrap_inline1345 on X is an equivalence relation with tex2html_wrap_inline1355 and tex2html_wrap_inline1357 . Thus, if X is countable, there is a tex2html_wrap_inline1253 for which

  equation846

if and only if tex2html_wrap_inline1051 on X is acyclic. Figure 1 illustrates tex2html_wrap_inline1345 on a Haase diagram for a partially ordered set in which one point bears tex2html_wrap_inline1051 to a second if there is a downward sequence of lines from the first to the second.

Figurefg1

When tex2html_wrap_inline1375 is uncountable, (2) holds for acyclic tex2html_wrap_inline1051 if tex2html_wrap_inline1173 , defined in the natural way on tex2html_wrap_inline1375 , has a linear extension in which some countable subset is order dense. Further discussion along this line is available in Peleg (1970) and Sondermann (1980).

Suppose tex2html_wrap_inline1055 is a partially ordered set that is not necessarily weakly ordered. An alternative to (2) of the two-way or if and only if variety that replaces u in (1) by another quantitative construct may then apply if tex2html_wrap_inline1055 has additional structure. A case of this occurs when tex2html_wrap_inline1051 is an interval order, i.e., when

displaymath1391

The primary two-way representation for an interval order is

  equation849

where tex2html_wrap_inline1395 with tex2html_wrap_inline1397 the set of all real intervals, and for tex2html_wrap_inline1399 , A > B means that a > b for all tex2html_wrap_inline1405 and all tex2html_wrap_inline1407 . One basic result (Fishburn 1970, Theorem 2.7) is: if tex2html_wrap_inline1375 is countable for an interval order tex2html_wrap_inline1055 , then (3) holds for a mapping I into nondegenerate closed intervals. Other structures may require open or half-open intervals (consider tex2html_wrap_inline1415 with tex2html_wrap_inline1417 ), and yet others may fail for (3) because there are not enough intervals in tex2html_wrap_inline1397 to accommodate the desired representation. Further results are in Fishburn (1985, Chapter 7), Peris and Subiza (1995), Bosi and Isler (1995), and other references cited there.


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Next: Additive measurement Up: Preference Representations Previous: Preference Representations

Peter.Fishburn