EconPapers    
Economics at your fingertips  
 

Nonparametric Welfare and Demand Analysis with Unobserved Individual Heterogeneity

Sam Cosaert and Thomas Demuynck

The Review of Economics and Statistics, 2018, vol. 100, issue 2, 349-361

Abstract: This paper combines revealed preference and nonparametric estimation techniques to obtain nonparametric bounds on the distribution of the money metric utility and demand functions over a population of heterogeneous households. Our approach is independent of any functional specification on the household utility functions. Our method applies the weak axiom of revealed preference to a population of heterogeneous households. Although this does not produce the sharpest bounds, we show that it is computationally attractive and provides narrow bounds. We demonstrate the usefulness of our results by applying it to the Consumer Expenditure Survey, a U.S. cross–sectional consumption data set.

Date: 2018
References: Add references at CitEc
Citations: View citations in EconPapers (15)

Downloads: (external link)
http://www.mitpressjournals.org/doi/pdf/10.1162/REST_a_00672 (application/pdf)
Access to PDF is restricted to subscribers.

Related works:
Working Paper: Nonparametric welfare and demand analysis with unobserved individual heterogeneity (2018) Downloads
Working Paper: Nonparametric welfare and demand analysis with unobserved individual heterogeneity (2014) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tpr:restat:v:100:y:2018:i:2:p:349-361

Ordering information: This journal article can be ordered from
https://mitpressjour ... rnal/?issn=0034-6535

Access Statistics for this article

The Review of Economics and Statistics is currently edited by Pierre Azoulay, Olivier Coibion, Will Dobbie, Raymond Fisman, Benjamin R. Handel, Brian A. Jacob, Kareen Rozen, Xiaoxia Shi, Tavneet Suri and Yi Xu

More articles in The Review of Economics and Statistics from MIT Press
Bibliographic data for series maintained by The MIT Press ().

 
Page updated 2025-03-22
Handle: RePEc:tpr:restat:v:100:y:2018:i:2:p:349-361