For a long time I thought this too. But then Ken Arrow started working on QV and while he agrees that in spirit QV gets around the theorem, it does not to the letter. The reason is that there can be multiple equilibria given income effects if you had a whole society governed by QV. All equilibria would be pareto-efficient and any pareto-efficient outcome could be implemented by QV, just as in the market economy, but in the market economy as well there may be multiple equilibria with income effects. This has little impact in a small vote in the short-term, but in the long-term taking everything into account, prices changing can impact effective budgets and lead to multiple equilibria. As soon as there are multiple equilibria effectively the system is not transitive because different equilibria are simultaneously preferred and dispreffered by the social ranking to one another. But this does not stop us thinking that the market is a good system because of its efficiency properties. So I think Arrow's theorem has been misunderstood.