Advances in Mathematical Economics Volume 19 pp 33-55

Part of the Advances in Mathematical Economics book series (MATHECON, volume 19) | Cite as

A Theory for Estimating Consumer’s Preference from Demand

Abstract

This study shows that if the estimate error of a demand function satisfying the weak axiom of revealed preference is sufficiently small with respect to local C1 topology, then the estimate error of the corresponding preference relation (which is possibly nontransitive, but uniquely determined from demand function, and transitive under the strong axiom) is also sufficiently small. Furthermore, we show a similar relation for the estimate error of the inverse demand function with respect to the local uniform topology. These results hold when the consumption space is the positive orthant, but are not valid in the nonnegative orthant.

Keywords

Demand function Inverse demand function Integrability theory Closed convergence topology Uniform convergence topology C1 convergence topology 

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Copyright information

© Springer Japan 2015

Authors and Affiliations

  1. 1.Department of EconomicsKanto-Gakuin UniversityKanagawa-kenJapan

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