This paper develops analytic results for marginal compensated effects in discrete labor supply models, including a Slutsky equation. The equation is aggregate the sense that it establishes relationship between of probability working and mean hours work terms corresponding uncompensated effects. differs somewhat from standard continuous models. Specifically, effect an increase wage rate decrease...

Asymptotics are known to be unreliable in multivariate models with cross-equation or non-linear restrictions, and the dimension of the problem makes bootstrapping impractical. In this paper, "nite sample results are obtained by Markov chain Monte Carlo methods for a nearly non-stationary VAR, and for a di!erential dynamic demand model with homogeneity, Slutsky symmetry, and negativity. The full...

This paper expands the standard model of utility maximization to endogenize the ubiquitous phenomenon of adaptation. We assume that total utility is an aggregate function of the utility associated with different domains of life, with relative weights that are optimized according to the effort that the individual expends on producing utility in each domain. Comparative statics from the general m...

Using the movements caused by the variations of income or prices of a dynamically stable account fixed point, it is possible to define an observable demand function that satisfies a variant of Slutsky's equation.

The Slutsky equation, central in consumer choice theory, is derived from the usual hypotheses underlying most standard models Economics, such as full rationality, homogeneity, and absence of interactions. We present a statistical physics framework that allows us to relax assumptions. first derive general fluctuation-response formula relates matrix spontaneous fluctuations consumption rather tha...

We study noncooperative household models with two agents and several voluntarily contributed public goods, deriving the counterpart to the Slutsky matrix and demonstrating the nature of the deviation of its properties from those of a true Slutsky matrix in the unitary model. We provide results characterising both cases in which there are and are not jointly contributed public goods. Demand prop...