Marinescu, Daniela Elena; Marin, Dumitru; Manafi, Ioana - In: International Journal of Economic Practices and Theories 1 (2011) 2, pp. 51-57
In the paper we will generalize the Slutsky Equation in risk and uncertainty situations using the compensated and uncompensated demand and some local measures of risk aversion. We will obtain a nonlinear optimization problem of maximizing the expected utility; this problem will be solved using...