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In this article we analyze if consumer behavior is consistent with utility maximization by using Swiss household budget data from 1975 to 1989. The test is based on revealed preference theory. We could follow the expenditures of 1840 households over 12 months and for 1730 households we could...
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This paper reports the results of an experiment on the intertemporal model of consumer behavior with perfect foresight. A test using the theory of revealed preference show that a significant number of individuals have an inconsistent behavior. However, the average data are consistent with the...
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