Revealed preference domains from random choice

Ordinal random utility models (RUMs) are based on the presumption that fluctuating preferences drive stochastic choices. We study a novel property of RUM subclasses called exclusiveness, satisfied whenever the supports of all RUM representations of stochastic choice data, rationalizable by a RUM over preferences within a specific domain, also belong to that domain. We demonstrate that well-known preference domains such as the single-peaked, single-dipped, triple-wise value-restricted and peak-monotone are RUM-exclusive, alongside a novel domain we term peak-pit on a line. Building on existing characterization results, we show how these preference domains can be directly revealed from stochastic choice data, without the need to compute all RUM representations.

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Publication Details

Journal
Games and Economic Behavior
Published
2024-08-22
DOI
https://doi.org/10.1016/j.geb.2024.08.001
Citations
1
Primary Topic
Game Theory and Voting Systems
Type
article
Field-Weighted Citation Impact
1.13

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article

Revealed preference domains from random choice

Kremena Valkanova
1 citations
Games and Economic Behavior
Game Theory and Voting Systems
1.13
article

Revealed preference domains from random choice

Kremena Valkanova
article en
1 citations

Abstract

Ordinal random utility models (RUMs) are based on the presumption that fluctuating preferences drive stochastic choices. We study a novel property of RUM subclasses called exclusiveness, satisfied whenever the supports of all RUM representations of stochastic choice data, rationalizable by a RUM over preferences within a specific domain, also belong to that domain. We demonstrate that well-known preference domains such as the single-peaked, single-dipped, triple-wise value-restricted and peak-monotone are RUM-exclusive, alongside a novel domain we term peak-pit on a line. Building on existing characterization results, we show how these preference domains can be directly revealed from stochastic choice data, without the need to compute all RUM representations.

Games and Economic BehaviorVol. 147
ETH Zurich (CH)
Eidgenössische Technische Hochschule Zürich, Universität Zürich
Openalex Percentile: Top 12%
Game Theory and Voting Systems
1.13
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