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The GFT and Alternative Forms

  • R. L. Basmann
  • D. J. Slottje
  • K. Hayes
  • J. D. Johnson
  • D. J. Molina
Part of the Lecture Notes in Economics and Mathematical Systems book series (LNE, volume 316)

Abstract

In the last chapter we showed explicitly how the GFT-direct utility function yields empirically testable hypotheses. Since Cournot, Dupuit and Gossen first laid out what evolved into the modern theory of consumer demand (predicated on the concept of individual utility maximization) a hundred and fifty years ago, virtually hundreds of articles have been written attempting to explicate and measure the theory cf. Stigler (1954). Among the modern contributors, Stone (1954), Houthakker (1960), Theil (1967), Christensen, Jorgenson and Lau (1975), Deaton and Muellbauer (1980a) and Basmann, Molina and Slottje (1983) have all introduced explicit demand functions to test the theory. Some have based their demand systems on explicit utility functions, some have not.

Keywords

Utility Function Demand Function Indifference Curve Demand System Likelihood Ratio Test Statistic 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer Science+Business Media New York 1988

Authors and Affiliations

  • R. L. Basmann
    • 1
  • D. J. Slottje
    • 2
  • K. Hayes
    • 2
  • J. D. Johnson
    • 4
  • D. J. Molina
    • 3
  1. 1.Department of EconomicsSUNY BinghamtonBinghamtonUSA
  2. 2.Department of EconomicsSouthern Methodist UniversityDallasUSA
  3. 3.Department of EconomicsUniversity of North TexasDentonUSA
  4. 4.Department of EconomicsUniversity of Mississippi UniversityUSA

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