Engel Curves Leading to the Weak Axiom in the Aggregate
For every range of admissible incomes, the authors characterize the class of Engel curves with the property that if an economy has, first, a price independent distribution of income and, second, preferences which are identical across consumers and generate Engel curves in the class, then the corresponding aggregate demand function satisfies the Weak Axiom of Revealed Preference. This class is defined by two simple conditions. The no-torsion condition says that, in the relevant range of income, the Engel curve is contained in a plane through the origin. The uniform-curvature condition says that, in addition, the Engel curve is either convex or concave to the origin. Copyright 1987 by The Econometric Society.
Volume (Year): 55 (1987)
Issue (Month): 3 (May)
|Contact details of provider:|| Phone: 1 212 998 3820|
Fax: 1 212 995 4487
Web page: http://www.econometricsociety.org/
More information through EDIRC
|Order Information:|| Web: https://www.econometricsociety.org/publications/econometrica/access/ordering-back-issues Email: |
References listed on IDEAS
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.:
- Polterovich, Victor & Mityushin, Leonid, 1978. "Criteria for Monotonicity of Demand Functions," MPRA Paper 20097, University Library of Munich, Germany.
- Jerison, Michael, 1984. "Aggregation and pairwise aggregation of demand when the distribution of income is fixed," Journal of Economic Theory, Elsevier, vol. 33(1), pages 1-31, June.
- Kihlstrom, Richard E & Mas-Colell, Andreu & Sonnenschein, Hugo, 1976. "The Demand Theory of the Weak Axiom of Revealed Preference," Econometrica, Econometric Society, vol. 44(5), pages 971-78, September.
- Mas-Colell, Andreu, 1974. "Continuous and smooth consumers: Approximation theorems," Journal of Economic Theory, Elsevier, vol. 8(3), pages 305-336, July.
- Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-26, June.
- DEBREU, Gérard, .
CORE Discussion Papers RP
132, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- John Muellbauer, 1975. "Aggregation, Income Distribution and Consumer Demand," Review of Economic Studies, Oxford University Press, vol. 42(4), pages 525-543.
When requesting a correction, please mention this item's handle: RePEc:ecm:emetrp:v:55:y:1987:i:3:p:515-31. See general information about how to correct material in RePEc.
If references are entirely missing, you can add them using this form.