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Transitivity Axiom

If a consumer prefers A to B (A \succ B) and B to C (B \succ C), they must prefer A to C (A \succ C). This ensures logical consistency in preferences.

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The statement of the theorem

The preference relation

\succ

must be transitive. If

\mathbf{A} \succ \mathbf{B}

and

\mathbf{B} \succ \mathbf{C}

, then it must follow that

\mathbf{A} \succ \mathbf{C}