A rational rank four demand system
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Arthur Lewbel
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Article
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2003
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John Wiley and Sons
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English
β 81 KB
## Abstract Past parametric tests of demand system rank employed polynomial Engel curve systems. However, by Gorman's (1981) theorem, the maximum possible rank of a utilityβderived polynomial demand system is three. The present paper proposes a class of demand systems that are utility derived, are