<p>When this event occurs it is known as a failure of "transitivity" of preferences.</p>

<p>Transitive preferences are such that for every  X,Y,Z, if X is preferred to Y and Y is preferred to Z then X must be preferred to Z. </p>

<p>Economists define rational preferences as binary relations that are complete and transitive, meaning that we can compare everything and the comparisons are consistent. </p>

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2016-08-20T01:09:46.793Z
2016-08-20T04:03:37.423Z
2016-08-20T04:03:37.423Z
VCG
<p>This was in Thinking Fast and Slow by Kahneman.</p>
<p>He described a situation where someone might prefer A to B, and B to C, but then might prefer C to A (when A and C are directly compared to each other).</p>
<p>I can't seem to remember the name of this bias or fallacy, and I looked in the book but wasn't able to find the passage.</p>
<p>Anybody remember what it was?</p>
<p>(The last time I posted a behavioral economics question on here, some people protested that it didn't belong here. For your information, Kahneman has a Nobel in Economics, so please take your objections to the Nobel Committee. Thank you and good day.)</p>
<hr />
<p>Update: the term is: &quot;Preference Reversal&quot;</p>

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2017-01-09T15:31:43.067Z
Bare in mind that,  Daniel Kahneman is a psychologist.  The economy prize given to him is because his finding fill up the all the void(especially irrational mistake) of all cheeky economist talk about rationality. IMHO, most "practice economist" has a reason to hate him.
mootmoot
<behavioral-economics>
Need help identifying this cognitive bias or fallacy pointed out by Kahneman in Thinking Fast and Slow
thanks_in_advance
# Need help identifying this cognitive bias or fallacy pointed out by Kahneman in Thinking Fast and Slow

(Asked by: username_0 on 2016-08-19)

This was in Thinking Fast and Slow by Kahneman.

He described a situation where someone might prefer A to B, and B to C, but then might prefer C to A (when A and C are directly compared to each other).

I can't seem to remember the name of this bias or fallacy, and I looked in the book but wasn't able to find the passage.

Anybody remember what it was?

(The last time I posted a behavioral economics question on here, some people protested that it didn't belong here. For your information, Kahneman has a Nobel in Economics, so please take your objections to the Nobel Committee. Thank you and good day.)

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Update: the term is: "Preference Reversal"

**Tags:** behavioral-economics

> **Comments:**
> **username_1**: Bare in mind that,  Daniel Kahneman is a psychologist.  The economy prize given to him is because his finding fill up the all the void(especially irrational mistake) of all cheeky economist talk about rationality. IMHO, most "practice economist" has a reason to hate him.  

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## 1 answers

### Answer by username_2 on 2016-08-20. Score: 5 | Accepted answer

When this event occurs it is known as a failure of "transitivity" of preferences.

Transitive preferences are such that for every X,Y,Z, if X is preferred to Y and Y is preferred to Z then X must be preferred to Z.

Economists define rational preferences as binary relations that are complete and transitive, meaning that we can compare everything and the comparisons are consistent.


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