Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
7372985 | Mathematical Social Sciences | 2018 | 29 Pages |
Abstract
The dominant practice in economics is to choose the mathematical specification of model relations on the basis of convenience, without much theoretical support. This paper discusses how quantitative model specifications can, in some cases, be given a more formal scientific underpinning in the sense of being based on a priori theory. I use an example from discrete choice theory to illustrate that it is sometimes possible to obtain a complete characterization of the choice model derived from a set of plausible axioms. Furthermore, I discuss how axioms can be tested non-parametrically, given that suitable Stated Preference data are available.
Related Topics
Physical Sciences and Engineering
Mathematics
Applied Mathematics
Authors
John K. Dagsvik,