Question
Suppose there are three goods, Good X, Good Y, and Good Z.Use the following notation: X: Quantity of Good X Y: Quantity of Good Y
Suppose there are three goods, Good X, Good Y, and Good Z.Use the following notation:
X: Quantity of Good X
Y: Quantity of Good Y
Z: Quantity of Good Z
PX: Price of Good X
PY: Price of Good Y
PZ: Price of Good Z
Suppose you have three separate observations made by a consumer.The observations are given in the following table:
Observation Px Py Pz X Y Z
1 3 2 1 1 2 3
2 2 3 1 2 1 2
3 1 2 3 3 2 1
Check to see if the above choices violate the Weak Axiom of Revealed Preference (WARP).If it does not violate WARP, give as much information as you can about how the consumer ranks the bundles.If it does violate WARP, simply write "It violates WARP".
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