Abstract
We study two boundedly rational procedures in consumer behavior. We show that these procedures can be detected by conditions on observable demand data of the same type as standard revealed preference axioms. This provides the basis for a non-parametric analysis of boundedly rational consumer behavior mirroring the classical one for utility maximization.
Original language | English |
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Pages (from-to) | 379-392 |
Number of pages | 14 |
Journal | Economic Theory |
Volume | 41 |
Issue number | 3 |
DOIs | |
Publication status | Published - Dec 2009 |
Keywords
- Bounded rationality
- Revealed preference
- Consumer choice
- REVEALED PREFERENCE
- INFERENCE