Blow, Laura (contributor); … - 2006
set) then
a more natural procedure is to seek a supplementary set of no more than K −J − 1 unobserved
characteristics that … searching for
one unobserved characteristic. A natural interpretation of this additional latent attribute is that it
represents … marginal valuations
do not conflict with the theory and are not inconsistent with the idea that the consumption of
market goods …