We provide a simplified test to determine if choice data from a two-commodity consumption set satisfies the Generalized Axiom of Revealed Preference (GARP), and thus the preference or utility maximization hypothesis. We construct an algorithm for this test and illustrate its application on...

Both early and recent work have highlighted certain similarities between rational and irrational demand. We re-examine these findings using experimental choice data. After separating our subjects' choices into rational and irrational subsets based on consistency with the axioms of revealed...

Sensitivity to scope has become an acid test for the validity of responses to non-market valuation scenarios. We examine the theoretical relationship between whether a subject's responses exhibit sensitivity to scope and whether consistent preferences underlie those responses. We find that...