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dc.contributor.authorDasgupta, Indraneelen_US
dc.description.abstractWe model a general choice environment via probabilistic choice correspondences, with (possibly) incomplete domain and infinite universal set of alternatives. We offer a consistency restriction regarding choice when the feasible set contracts. This condition, 'contraction consistency', subsumes earlier notions such as Chernoff's Condition, Sen's » and Ø, and regularity. We identify a restriction on the domain of the stochastic choice correspondence, under which contraction consistency is equivalent to the weak axiom of revealed preference in its most general form. When the universal set of alternatives is finite, this restriction is also necessary for such equivalence. Analogous domain restrictions are also identified for the special case where choice is deterministic but possibly multi-valued. Results due to Sen (Rev Econ Stud 38: 307-317, 1971) and Dasgupta and Pattanaik (Econ Theory 31: 35-50, 2007) fall out as corollaries. Thus, conditions are established, under which our notion of consistency, articulated only in reference to contractions of the feasible set, suffices as the axiomatic foundation for a general revealed preference theory of choice behaviour.en_US
dc.publisher|aInstitute for the Study of Labor (IZA) |cBonnen_US
dc.relation.ispartofseries|aIZA Discussion Papers |x4596en_US
dc.subject.keywordStochastic choice correspondenceen_US
dc.subject.keywordcontraction consistencyen_US
dc.subject.keywordChernoff's conditionen_US
dc.subject.keywordweak axiom of revealed preferenceen_US
dc.subject.keywordweak axiom of stochastic revealed preferenceen_US
dc.subject.keywordcomplete domainen_US
dc.subject.keywordincomplete domainen_US
dc.subject.stwOffenbarte Präferenzenen_US
dc.titleContraction consistent stochastic choice correspondenceen_US
dc.type|aWorking Paperen_US

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