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Giffen behavior and duality from the viewpoint of the relation between the shapes of price indifference and indifference curves

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  • Masaki Fujimoto

    (Kindai University)

Abstract

This paper presents the two relations between the shapes of price indifference and indifference curves. The first relation between the geometric conditions for Giffenity implies that one curves fan out in the downward direction if and only if the other curves fan out in the upward direction. The second relation implies that the more sharply one curve bends, the flatter the other curve becomes and as the two goods become better complements (substitutes), their prices become better substitutes (complements).

Suggested Citation

  • Masaki Fujimoto, 2022. "Giffen behavior and duality from the viewpoint of the relation between the shapes of price indifference and indifference curves," SN Business & Economics, Springer, vol. 2(11), pages 1-20, November.
    • Handle: RePEc:spr:snbeco:v:2:y:2022:i:11:d:10.1007_s43546-022-00341-z
    DOI: 10.1007/s43546-022-00341-z
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    References listed on IDEAS

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    4. Sato, Ryuzo, 1976. "Self-Dual Preferences," Econometrica, Econometric Society, vol. 44(5), pages 1017-1032, September.
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    6. Masako N. Darrough & Clive Southey, 1977. "Duality in Consumer Theory Made Simple: The Revealing of Roy's Identity," Canadian Journal of Economics, Canadian Economics Association, vol. 10(2), pages 307-317, May.
    7. Vandermeulen, Daniel C, 1972. "Upward Sloping Demand Curves Without the Giffen Paradox," American Economic Review, American Economic Association, vol. 62(3), pages 453-458, June.
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    More about this item

    Keywords

    Consumer theory; Duality; Giffen behavior; Price indifference curve; Indifference curve;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory

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