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Various Convexities and Some Relevant Properties of Consumer Preference Relations

Author

Listed:
  • Forrest Jeffrey Yi-Lin

    (1 Slippery Rock University, Slippery Rock, USA)

  • Tiglioglu Tufan

    (2 Alvernia University, Reading, USA)

  • Liu Yong

    (3 Jiangnan University, Wuxi, China)

  • Mong Donald

    (4 Slippery Rock University, Slippery Rock, USA)

  • Cardin Marta

    (5 Ca’ Foscari University of Venice, Venezia, Italy)

Abstract

The concept of convexity plays an important role in the study of economics and consumer theory. For the most part, such studies have been conducted on the assumption that consumer preferences are a binary relation that is complete, reflexive and transitive on the set X of consumption choices. However, each consumer is a biological being with multidimensional physiological needs so that possible consumptions from different dimensions cannot be compared by using preferences. By removing that unrealistic assumption, this paper examines how the various concepts of convex preferences and relevant properties can be re-established. We derive a series of 10 formal propositions and construct 6 examples to show that (a) a weighted combination of two possible consumptions is not necessarily comparable with any of the consumptions; (b) not every convergent sequence of a consumer’s preferred consumptions asymptotically preserves that consumer’s preference preordering; (c) not all preferences satisfy either positive multiplicativity or additive conservation; (d) three types of preference convexities – weak convexity, convexity and strong convexity – can all be introduced into general convex spaces. This paper concludes with some research topics of expected significance for future works.

Suggested Citation

  • Forrest Jeffrey Yi-Lin & Tiglioglu Tufan & Liu Yong & Mong Donald & Cardin Marta, 2023. "Various Convexities and Some Relevant Properties of Consumer Preference Relations," Studia Universitatis „Vasile Goldis” Arad – Economics Series, Sciendo, vol. 33(4), pages 145-168, December.
    • Handle: RePEc:vrs:suvges:v:33:y:2023:i:4:p:145-168:n:4
    DOI: 10.2478/sues-2023-0021
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    References listed on IDEAS

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    More about this item

    Keywords

    additive conservation; convex space; Euclidean space; half-space; positive multiplicativity; possible consumption; preorder; utility function;
    All these keywords.

    JEL classification:

    • D11 - Microeconomics - - Household Behavior - - - Consumer Economics: Theory

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