R.L. Basmann, D.J. Slottje, K Hayes

The Generalized Fechner-Thurstone Direct Utility Function and Some of its Uses

• Broschiertes Buch

Produktbeschreibung

In this book the foundations and applicability of the Generalized Fechner-Thurstone Utility Function are laid out. It is shown how by removing the constraint of fixed preferences in the neoclassical consumer theory, utility theory can be used to develop non-parametric indices along with elasticities of the marginal rates of substitutions. It is also shown that whereas the existence of a fixed preference utility function is not always guaranteed for different demand functions, there will always exist at least one Generalized Fechner-Thurstone Direct Utility Function. Furthermore, analysis using the Fechner-Thurstone Direct Utility Function is clear and simple and does not rely on ad hoc Taylor expansions. The construction of different true-cost-of-living indices, the comparison of North American consumers, and a habit formation model are developed to show the usefulness of the Generalized Fechner-Thurstone Direct Utility Function.

Produktdetails

• Lecture Notes in Economics and Mathematical Systems 316
• Verlag: Springer / Springer New York / Springer, Berlin
• 1988
• Seitenzahl: 168
• Erscheinungstermin: 6. Dezember 1988
• Englisch
• Abmessung: 210mm x 148mm x 10mm
• Gewicht: 295g
• ISBN-13: 9780387968537
• ISBN-10: 0387968539
• Artikelnr.: 24447851

Inhaltsangabe

1 Introduction.- 2 The GFT Utility Function.- 3 Estimating the GFT Form.- 4 The GFT and Alternative Forms.- 5 The True Cost-of-Living Concept.- 6 Cross Country Comparisons.- 7 Testing for Habit Persistence.- 8 Concluding Remarks.- A The Five Commodity Groups.- B The Eleven Commodity Groups.