This reading describes how people’s aversion to risk affects the decisions they make about investment. Basically, the concepts used to do this analysis emerge naturally when people have expected utility preferences, but not otherwise. So, it illustrates one important way that expected utility is applied. This analysis also makes it possible to illustrate how to do comparative statics. Comparati...

This study deals with comparative statics of the consumer’s demand. According to Lancaster [1966, Journal of Political Economy ], a utility function should be defined on the set of all characteristics that affect well-being of the consumer and these characteristics should be derived by consuming commodities. We show the sufficient condition for monotone comparative statics of the demand for cha...

Equilibrium Simulation with Microeconometric Models: A New Procedure with an Application to Income Support Policies Many microeconometric models of discrete labour supply include alternative-specific constants meant to account for (possibly besides other factors) the density or accessibility of particular types of jobs (e.g. part-time jobs vs. full-time jobs). The most common use of these model...

We present an intelligent pen-based tutoring system for Statics – the sub-discipline of engineering mechanics concerned with the analysis of mechanical systems in equilibrium under the action of forces. The system scaffolds students in the construction of free body diagrams and equilibrium equations for planar devices comprised of one or more rigid bodies. While there has been extensive researc...