how their choices deviate from utility maximization. We find that optimal paternalism is subtle. The policy that most …

maximization with general heterogeneity, i.e. in the random utility model (RUM). We show that utility maximization and convex … restrictions of utility maximization on the budget set regression and show how to check these restrictions in applications. We … utility maximization at the values chosen for over 95% of observations, and that a productivity growth rate we estimate is …