Marc-Arthur Diaye () (CEE - Centre d'Etudes de l'Emploi - Ministère de la recherche - Ministère chargé de l'Emploi, EPEE - centre d'Etudes des Politiques Economiques de l'université d'Evry - Université d'Evry-Val d'Essonne) François Gardes (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I) Christophe Starzec (CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Panthéon-Sorbonne - Paris I)
Additional information is available for the following
registered author(s):
The purpose of this paper is twofold. We first point out that violation of rationality axioms (SARP, GARP, WARP) do not necessarily lead to a non-rational behavior. Second, our tests of axioms SARP, GARP and WARP over a Polish panel data (1987-90) show that over the 3630 households only 240 violate the three axioms. However these 240 violations are not caused by the non-respect of demand theory axioms but by the changing of preferences over the period. A logistic regression confirms the robustness of the test since the more the real expenditure increases in absolute value, the more the probability of violating the axioms increases (the respect of the axioms by the 3390 households is not due to an increase of the real expenditure). Moreover, changing in the composition of the family structure increases the probability of being inconsistent. It seems therefore that the 240 apparent violations are due to the appearance of new constraints, which increase the shadow prices of the goods. In order to explain these 240 households' preference changes, we build an econometric model of prices including an observed monetary component and an unobserved non-monetary component expressing the constraints faced by the agent. The estimation of this econometric model shows that the agents who apparently violate the axioms have these complete price changes superior to those of the agents who respect the axioms. Thus the agents who apparently violate the axioms faced during the period a change of their non-monetary resources and the appearance of new constraints.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
Length: Date of creation: 01 Apr 2008 Date of revision: Handle: RePEc:hal:cesptp:halshs-00268829_v1
Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00268829/en/ Contact details of provider: Web page: http://hal.archives-ouvertes.fr/
For technical questions regarding this item, or to correct its listing, contact: (CCSD).
Cited by: (explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)