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Comparative Statics for Utility Maximization Models with Nonlinear Budget Constraints

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  • Blomquist, N Soren

Abstract

This paper investigates the properties of demand functions generated by nonlinear budget constraints, and relates them to those of demand functions generated by linear budget constraints. The analysis shows that the properties of "nonlinear" and "linear" demand functions in some respects are similar, but in other respects differ substantially. The study gives conditions under which properties of the "linear" demand functions carry over to the "nonlinear" ones. The implications for the "nonlinear" demand functions of various separability assumptions are also studied. Copyright 1989 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

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Bibliographic Info

Article provided by Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association in its journal International Economic Review.

Volume (Year): 30 (1989)
Issue (Month): 2 (May)
Pages: 275-96

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Handle: RePEc:ier:iecrev:v:30:y:1989:i:2:p:275-96

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  2. Bernard Fortin & Nicolas Jacquemet & Bruce Shearer, 2008. "Policy Analysis in the health-services market: accounting for quality and quantity," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00305309, HAL.
  3. Damien Échevin & Bernard Fortin, 2011. "Physician Payment Mechanisms, Hospital Length of Stay and Risk of Readmission: a Natural Experiment," Cahiers de recherche, CIRPEE 1112, CIRPEE.
  4. Brett Day & Ian Bateman & Iain Lake, 2007. "Beyond implicit prices: recovering theoretically consistent and transferable values for noise avoidance from a hedonic property price model," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 37(1), pages 211-232, May.
  5. Échevin, Damien & Fortin, Bernard, 2013. "Physician Payment Mechanisms, Hospital Length of Stay and Risk of Readmission: Evidence from a Natural Experiment," IZA Discussion Papers 7835, Institute for the Study of Labor (IZA).
  6. Chavas, Jean-Paul, 2013. "On the microeconomics of food and malnutrition under endogenous discounting," European Economic Review, Elsevier, vol. 59(C), pages 80-96.
  7. Blomquist, Sören & Christiansen, Vidar & Micheletto, Luca, 2011. "Public provision of private goods, self-selection and income tax avoidance," Working Paper Series, Center for Fiscal Studies 2011:6, Uppsala University, Department of Economics.
  8. Palmquist, Raymond B., 2006. "Property Value Models," Handbook of Environmental Economics, Elsevier, in: K. G. Mäler & J. R. Vincent (ed.), Handbook of Environmental Economics, edition 1, volume 2, chapter 16, pages 763-819 Elsevier.
  9. Dyar, Julie A. & Wagner, Jeffrey, 2003. "Uncertainty and species recovery program design," Journal of Environmental Economics and Management, Elsevier, vol. 45(2, Supple), pages 505-522, March.
  10. Kumar, Anil, 2008. "Labor supply, deadweight loss and tax reform act of 1986: A nonparametric evaluation using panel data," Journal of Public Economics, Elsevier, vol. 92(1-2), pages 236-253, February.
  11. Javier Birchenall, 2007. "Escaping high mortality," Journal of Economic Growth, Springer, Springer, vol. 12(4), pages 351-387, December.

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