Price-dispersed preferences and \(C^ 1\) mean demand (Q1065692): Difference between revisions

This paper belongs to the literature on smoothing demand by aggregation. This branch of the mathematical economics literature was opened by \textit{G. Debreu} [Econometrica 40, 603-615 (1972; Zbl 0258.90007)] who asked for conditions on consumer characteristics under which the mean demand is differentiable even if the individual consumer demands are not. The principal result of this paper presents such conditions without stipulating that consumers' preferences are parametrized to form a finite dimensional space as in the work of Araujo-Mas-Colell, Yamazaki, Hildenbrand and Sondermann. The highlights of the authors' approach is a reliance on the Fubini Theorem, the Haar measure and on Morin singularities. For details, we refer the reader to this interesting paper.