Article ID Journal Published Year Pages File Type
5053951 Economic Modelling 2015 5 Pages PDF
Abstract
This paper develops and evaluates a rationing linear programming procedure that uses an “efficiency index” to allow for violations of revealed preference to be attributed to “almost” optimal choices. The procedure detects rationing using U.K. data. Various Monte Carlo simulations are performed to evaluate the ability of the procedure to differentiate between violations of revealed preferences caused by random error and those caused by rationing.
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Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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A revealed preference test of rationing a Monte Carlo analysis
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