Jerison, David; Jerison, Michael - In: Economic Theory 8 (1996) 2, pp. 229-37
A smooth demand function is generated by utility maximization if and only if its Slutsky matrix is symmetric and negative semidefinite. Slutsky symmetry is equivalent to absence of smooth revealed preference cycles, of Hurwicz and Richter (1979). To observe such a cycle would require a continuum...