Consumer theory with bounded rational preferences

C-Tier
Journal: Journal of Mathematical Economics
Year: 2010
Volume: 46
Issue: 5
Pages: 708-714

Score contribution per author:

1.009 = (α=2.02 / 1 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Abstract Building on the work of Shafer (1974), this paper provides a continuous bivariate representation theorem for preferences that need not be complete or transitive. Applying this result to the problem of choice from competitive budget sets allows for a proof of the existence of a demand correspondence for a consumer who has preferences within this class that are also convex. Similarly to the textbook theory of utility maximization, this proof also uses the Maximum Theorem. With an additional mild convexity axiom that conceptually parallels uncertainty aversion, the correspondence reduces to a function that satisfies WARP.

Technical Details

RePEc Handle
repec:eee:mateco:v:46:y:2010:i:5:p:708-714
Journal Field
Theory
Author Count
1
Added to Database
2026-01-25