The paper lists salient characteristics of the certainty theory of consumer choice and discusses the import of prominent empirical analyses of the theory. All of them reject the theory's empirical relevance which suggests that the theory is unfit to analyze consumer choice in an uncertain world....

In this paper we establish three theorems concerning the asymptotic distributions of ordinary least-squares estimates of the parameters of a stochastic difference equation. We show that, if there is at least one root of the associated characteristic equation with modulus less than one and if all...