De Rock, Bram; Cherchye, Laurens; Smeulders, Bart; … - European Centre for Advanced Research in Economics and … - 2013
In a recent and insightful paper, Echenique et al. [4] proposed the Money Pump Index(MPI) as an intuitive measure to evaluate the severity of violations of consumer rationality(defined in terms of revealed preference axioms). For practical applications, they suggest usingthe Mean or Median MPI....
