Direct preference revelation Suppose that the bundle x"is chosen when the bundle y is affordable Then x* is directly revealed preferred to y(otherwise y would have been chosen). x*直接显示偏好于y
Direct Preference Revelation Suppose that the bundle x* is chosen when the bundle y is affordable. Then x* is directly revealed preferred to y (otherwise y would have been chosen). x*直接显示偏好于y
Direct preference revelation The chosen bundle x is directly revealed preferred to the bundles y and z. X y X1
Direct Preference Revelation x2 x1 x * y The chosen bundle x* is directly revealed preferred to the bundles y and z. z
Direct preference revelation That x is directly revealed preferred to y will be written as x≥y
Direct Preference Revelation That x is directly revealed preferred to y will be written as x y. D p
Indirect preference revelation Suppose x is revealed directly preferred to y, and y is revealed directly preferred to z. Then, by transitivity, x is indirectly revealed preferred to z. Write this as 个 so xy and y
Indirect Preference Revelation Suppose x is revealed directly preferred to y, and y is revealed directly preferred to z. Then, by transitivity, x is indirectly revealed preferred to z. Write this as x z so x y and y z x z. D p D p I p I p