Numeraire prices that are measured with error create challenges for econometric estimation. A straightforward approach for a model with linear input demands, such as generated from a quadratic normalized profit function, is proposed where the numeraire price is measured with error. Numeraire...

Diminishing marginal utility is neither necessary nor sufficient for downward sloping demand, and it is not necessary for convex indifference curves. We illustrate these facts with two simple counter examples, using valid and easy to understand utility functions. The examples are accompanied...

This chapter presents the theory of consumer choice as applied to household behavior. An internally consistent, self-contained framework is developed for the analysis of consumer preferences, household production, quality attributes, and produced nonmarket commodities in static and dynamic...

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In this paper, a dynamic economic model is used to analyze the conflicting impacts of crop increasing/land degrading inputs with those of soil conserving/crop reducing inputs in problems of soil degradation in agriculture. Soil is a renewable resource that is generated naturally at a slow,...

In this paper we estimate a demand curve for Broadway shows and estimate average willingness to pay for information on the quality of the show. The data employed are weekly time series observations on attendance to Broadway performances and individual characteristics of each Broadway show...