Between Dec 19, 2024 and Jan 2, 2025, datasets can be submitted to DRUM but will not be processed until after the break. Staff will not be available to answer email during this period, and will not be able to provide DOIs until after Jan 2. If you are in need of a DOI during this period, consider Dryad or OpenICPSR. Submission responses to the UDC may also be delayed during this time.

Browsing by Subject "Revealed Preference Analysis"

Now showing 1 - 1 of 1
  • Thumbnail Image
    Item
    Computability of Preference, Utility, and Demand
    (Center for Economic Research, Department of Economics, University of Minnesota, 1996-12) Richter, Marcel K.; Wong, Kam-Chau
    This paper studies consumer theory from the bounded rationality approach proposed in Richter and Wong (1996a), with a "uniformity principle" constraining the magnitudes (prices, quantities, etc.) and the operations (to perceive, evaluate, choose, communicate, etc.) that agents can use. In particular, we operate in a computability framework, where commodity quantities, prices, consumer preferences, utility functions, and demand functions are computable by finite algorithms (Richter and Wong (1996a)). We obtain a computable utility representation theorem. We prove an existence theorem for computable maximizers of quasiconcave computable utility functions (preferences), and prove the computability of the demand functions generated by such functions (preferences). We also provide a revealed preference characterization of computable rationality for the finite case. Beyond consumer theory, the results have applications in general equilibrium theory (Richter and Wong (1996a)).