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On behavioral heterogeneity

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Author Info
Werner Hildenbrand
Alois Kneip ()
Abstract

An index of “behavioral heterogeneity” for every finite population of households is defined. It is shown that the higher the index of behavioral heterogeneity the less sensitive depends the aggregate consumption expenditure ratio upon prices. As a consequence, a high index implies a tendency for the Jacobian of aggregate demand to have a dominant negative diagonal. Copyright Springer-Verlag Berlin/Heidelberg 2005

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File URL: http://hdl.handle.net/10.1007/s00199-004-0483-7
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Publisher Info
Article provided by Springer in its journal Economic Theory.

Volume (Year): 25 (2005)
Issue (Month): 1 (01)
Pages: 155-169
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Handle: RePEc:spr:joecth:v:25:y:2005:i:1:p:155-169

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Related research
Keywords: Aggregation; Behavioral heterogeneity; Mean demand.;

Cited by:
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  1. Alan Kirman, 2006. "Heterogeneity in Economics," Journal of Economic Interaction and Coordination, Springer, vol. 1(1), pages 89-117, May. [Downloadable!] (restricted)
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This page was last updated on 2009-12-22.

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