What do Demonstrated Preferences Demonstrate? Expectations!

Murray Rothbard's disruptive paper, "Toward a Reconstructionof Utility and Welfare Economics" has given Rothbardians a foundation for welfare economics which relies on demonstrated preferences. What are demonstrated preferences? As Rothbard explains; The concept of demonstrated preference is simply this: that actual choice reveals, or demonstrates, a man’s preferences; that is, that his preferences are deducible … Continue reading What do Demonstrated Preferences Demonstrate? Expectations!