Slutsky equation - PowerPoint PPT Presentation

Lecture Examples

Lecture Examples. EC202 http://darp.lse.ac.uk/ec202 Additional examples provided during lectures in 2013 Frank Cowell. Example – single technique. z 2. z 2. z 2. 3. z 1. 1. z 1. z 1. 0. 0. 3. 1. Example – two techniques. z 2. z 2. 3. z 1. 1. z 1. 0. 3. 1.

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Slutsky Equation

Slutsky Equation. The Slutsky Equation. These effects are often summarized in the Slutsky equation. The Slutsky Equation. The Slutsky Equation. The substitution effect is the change in demand from a movement along the indifference curve. The Slutsky Equation.

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