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Some λ-Separable Frisch Demands with Utility Functions

Author

Listed:
  • Ethan Ligon

    (University of California, Berkeley)

Abstract

We complete the characterization of two Frisch demand systems first developed by Browning, Deaton and Irish (1985), and show that that these systems (i) do not restrict intertemporal substitution; but (ii) imply momentary utility functions which are additively separable in consumption. These utility functions turn out to take the well-known exponential and Stone-Geary forms.

Suggested Citation

  • Ethan Ligon, 2016. "Some λ-Separable Frisch Demands with Utility Functions," Economics Bulletin, AccessEcon, vol. 36(1), pages 68-74.
    • Handle: RePEc:ebl:ecbull:eb-15-00582
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    File URL: http://www.accessecon.com/Pubs/EB/2016/Volume36/EB-16-V36-I1-P8.pdf
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    Cited by:

    1. Ligon, Ethan, 2016. "All λ-separable demands and rationalizing utility functions," Economics Letters, Elsevier, vol. 147(C), pages 16-18.

    More about this item

    Keywords

    Frisch demands; Separability; Intertemporal elasticity of substitution;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • D9 - Microeconomics - - Micro-Based Behavioral Economics

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