Deb, Rahul (2007): Computational Inefficiency Of Nonparametric Tests For Consistency Of Data With Household Consumption.
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Recently Cherchye et al. (2007a) provided a nonparametric characterization of a general collective model for household consumption which includes externalities and public consumption. This characterization involved different necessary and sufficient conditions. We identify a special case of the household model for which their sufficiency conditions are also necessary. We show that verification of this sufficiency condition is NP Complete which provides justification for the parametric techniques used in the empirical literature.
|Item Type:||MPRA Paper|
|Original Title:||Computational Inefficiency Of Nonparametric Tests For Consistency Of Data With Household Consumption|
|Keywords:||Collective household models; intrahousehold allocation; revealed preference; nonparametric analysis; NP Completeness|
|Subjects:||D - Microeconomics > D1 - Household Behavior and Family Economics > D10 - General
C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General > C14 - Semiparametric and Nonparametric Methods: General
D - Microeconomics > D1 - Household Behavior and Family Economics > D13 - Household Production and Intrahousehold Allocation
|Depositing User:||Rahul Deb|
|Date Deposited:||12. Apr 2007|
|Last Modified:||16. Feb 2013 10:51|