Advanced Microeconomics/Revealed Preferences

Weak Axiom of Revealed PreferencesEdit

The demand function   satisfies the weak axiom of revealed preference if:
 


In words:
The consumer faced with   could have chosen $\funcd{x}{p^{\prime},w^{\prime}}$ but chose  , assuming the consumer chooses consistently, if $\funcd{x}{p^{\prime},\primd{w}}$ is ever chosen,   must not be affordable. Hence,