RIMS-1739 On Revealed Preference and Indivisibilities

  title={RIMS-1739 On Revealed Preference and Indivisibilities},
  author={Satoru Fujishige and Zaifu Yang},
We consider a market model in which all commodities are inherently indivisible and thus are traded in integer quantities. We ask whether a finite set of price-quantity observations satisfying the Generalized Axiom of Revealed Preference (GARP) is consistent with utility maximization. Although familiar conditions such as non-satiation become meaningless in the current discrete model, by refining the standard notion of demand set we show that Afriat’s celebrated theorem still holds true… CONTINUE READING

From This Paper

Topics from this paper.


Publications citing this paper.


Publications referenced by this paper.
Showing 1-10 of 27 references

The non-parametric approach to demand

  • H. R. Varian
  • analysis,” Econometrica,
  • 1982
Highly Influential
8 Excerpts

Afriat and revealed preference theory,

  • E. Diewert
  • Review of Economic Studies,
  • 1973
Highly Influential
7 Excerpts

The construction of a utility function from expenditure data,

  • S. N. Afriat
  • International Economic Review,
  • 1967
Highly Influential
12 Excerpts

Rational household labor

  • P. A. Chiappori
  • supply,” Econometrica,
  • 1988
Highly Influential
1 Excerpt

Foundations of Revealed Preference: Introduction,

  • F. Vermeulen
  • forthcoming in the Annual Conference issue of the…
  • 2011
1 Excerpt

Habits revealed,

  • I. Crawford
  • Review of Economic Studies,
  • 2010
1 Excerpt

Similar Papers

Loading similar papers…