Affordable publication for maximum impact
Empirical Validity Of Revealed Preference Theory: Analysis From The Choices Of Gsm Subscribers In Taraba State, Nigeria
The revealed preference theory, which is considered empirical, stipulates that a consumer’s behaviour can be observed from his purchasing habits. This implies that his choice reveals his preference such that if he purchases a specific bundle of goods, then that bundle is “revealed preferred,” given fixed income and prices, to any other bundle that he consumer could afford. This piece of work validates the theory using empirical data generated from the choices made by the users of GSM services. It is argued that the relationship between the choice and preference axiom of the revealed preference theory is not consistent with the empirical data. In defining consistency, the theory state
Download