Abstracts: This is reviewed study on preference and revealed preference: evidence from consumers’ household behavior approach with objective to study consumers in choice of commodities for satisfaction and the consumers’ behavior in the market situation base on his budget constraints. It showed some assumption about preference and revealed preference, the use of indifference curve to depict difference kind of preference and behaviors of preference in relation to indifference curve. It also explained the marginal rate of substitution in terms of preference, substitution effect under revealed preference and it has proved from revealed preference theory that the substitution effect is negative. The illustrative use of reveal preference in market structures, and the study concluded on the consumers household behaviors on preferences and revealed preferences as ordinal introspective household behaviors’ on consumption of commodities and as an alternative on ordinal consumers behaviors in the markets subjects to budgets constraints.
Keywords: preferences, revealed preferences, household and utility.
Title: PREFERENCES AND REVEALED PREFERENCES: EVIDENCE FROM CONSUMERS HOUSEHOLD BEHAVIOUR APPROACHES
Author: Idisi, P. O., Gamba, V.
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
Research Publish Journals
