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An Afriat theorem for the collective model of household consumption

Cherchye, Laurens (contributor); Rock, Bram de (contributor) - 2008

We provide a nonparametric 'revealed preference' characterization of rational household behavior in terms of the collective consumption model, while accounting for general (possibly non-convex) individual preferences. We establish a Collective Axiom of Revealed Preference (CARP), which provides...