Jump to ContentJump to Main Navigation
Separability and AggregationThe Collected Works of W. M. Gorman, Volume I$
Users without a subscription are not able to see the full content.

W. M. Gorman, C. Blackorby, and A. F. Shorrocks

Print publication date: 1996

Print ISBN-13: 9780198285212

Published to Oxford Scholarship Online: November 2003

DOI: 10.1093/0198285213.001.0001

Show Summary Details
Page of

PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2020. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 23 November 2020

Some Engel Curves

Some Engel Curves

Chapter:
(p.353) 20 Some Engel Curves
Source:
Separability and Aggregation
Author(s):

W. M. Gorman (Contributor Webpage)

, C. Blackorby, A. F. Shorrocks
Publisher:
Oxford University Press
DOI:10.1093/0198285213.003.0020

This paper was first published in 1981 in the Festschrift for Sir Richard Stone (Essays in the Theory and Measurement of Consumer Behaviour in Honour of Sir Richard Stone, ed. A. Deaton. Cambridge: Cambridge University Press). The question addressed is straightforward, and its consequences surprising: what restrictions, if any, are placed on the preferences of a rational individual whose Engel curves (curves showing the relationship between income level and spending on the consumption of some good, at a given price) are of the particular form examined in the paper.

It turns out that it is as though there are only three commodities. It is as if the consumer purchases a quantity x with which he or she can produce intermediate goods a, b, and c from which actual utility is derived; the optimization problem simply ensures that each of the three intermediate goods is produced efficiently. One of Gorman's suggestions is to explain that this equation arises naturally in the context of an aggregation problem.

Keywords:   aggregation, consumption, Engel curves, utility

Oxford Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs , and if you can't find the answer there, please contact us .