Nontransitive Preferences and Stochastic Rationalizability: A Behavioral Equivalence

Publikation: Working paper › Preprint › Forskning

Standard

Nontransitive Preferences and Stochastic Rationalizability : A Behavioral Equivalence. / Fosgerau, Mogens; Rehbeck, John.

2023.

Publikation: Working paper › Preprint › Forskning

Harvard

Fosgerau, M & Rehbeck, J 2023 'Nontransitive Preferences and Stochastic Rationalizability: A Behavioral Equivalence'. https://doi.org/10.48550/arXiv.2304.14631

APA

Fosgerau, M., & Rehbeck, J. (2023). Nontransitive Preferences and Stochastic Rationalizability: A Behavioral Equivalence. https://doi.org/10.48550/arXiv.2304.14631

Vancouver

Fosgerau M, Rehbeck J. Nontransitive Preferences and Stochastic Rationalizability: A Behavioral Equivalence. 2023 apr. 28. https://doi.org/10.48550/arXiv.2304.14631

Author

Fosgerau, Mogens ; Rehbeck, John. / Nontransitive Preferences and Stochastic Rationalizability : A Behavioral Equivalence. 2023.

Bibtex

@techreport{e2fcc10b40bc40808aa92f960956ffc9,
title = "Nontransitive Preferences and Stochastic Rationalizability: A Behavioral Equivalence",
abstract = "Nontransitive choices have long been an area of curiosity within economics. However, determining whether nontransitive choices represent an individual's preference is a difficult task since choice data is inherently stochastic. This paper shows that behavior from nontransitive preferences under a monotonicity assumption is equivalent to a transitive stochastic choice model. In particular, nontransitive preferences are regularly interpreted as a strength of preference, so we assume alternatives are chosen proportionally to the nontransitive preference. One implication of this result is that one cannot distinguish ``complementarity in attention{"} and ``complementarity in demand.{"} ",
keywords = "econ.TH",
author = "Mogens Fosgerau and John Rehbeck",
year = "2023",
month = apr,
day = "28",
doi = "10.48550/arXiv.2304.14631",
language = "English",
type = "WorkingPaper",

}

RIS

TY - UNPB

T1 - Nontransitive Preferences and Stochastic Rationalizability

T2 - A Behavioral Equivalence

AU - Fosgerau, Mogens

AU - Rehbeck, John

PY - 2023/4/28

Y1 - 2023/4/28

N2 - Nontransitive choices have long been an area of curiosity within economics. However, determining whether nontransitive choices represent an individual's preference is a difficult task since choice data is inherently stochastic. This paper shows that behavior from nontransitive preferences under a monotonicity assumption is equivalent to a transitive stochastic choice model. In particular, nontransitive preferences are regularly interpreted as a strength of preference, so we assume alternatives are chosen proportionally to the nontransitive preference. One implication of this result is that one cannot distinguish ``complementarity in attention" and ``complementarity in demand."

AB - Nontransitive choices have long been an area of curiosity within economics. However, determining whether nontransitive choices represent an individual's preference is a difficult task since choice data is inherently stochastic. This paper shows that behavior from nontransitive preferences under a monotonicity assumption is equivalent to a transitive stochastic choice model. In particular, nontransitive preferences are regularly interpreted as a strength of preference, so we assume alternatives are chosen proportionally to the nontransitive preference. One implication of this result is that one cannot distinguish ``complementarity in attention" and ``complementarity in demand."

KW - econ.TH

U2 - 10.48550/arXiv.2304.14631

DO - 10.48550/arXiv.2304.14631

M3 - Preprint

BT - Nontransitive Preferences and Stochastic Rationalizability

ER -

ID: 347963490