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What kind of preference maximization does the weak axiom of revealed preference characterize?
Authors:Marco Mariotti
Institution:(1) Department of Economics, Queen Mary, University of London, Mile End Road, London, E1 4NS, UK
Abstract:A (multivalued) choice is justified if no two chosen alternatives are preferred to each other, and if all chosen alternatives are preferred to all rejected alternatives. This concept permits a connection between the behavioral property expressed by WARP and a weak form of preference maximization. I am grateful to Michele Lombardi, Michael Mandler, Paola Manzini and an anonymous referee for useful discussions and comments.
Keywords:Weak axiom of revealed preference  Congruence
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