- #1
pp123123
- 6
- 0
I have drawn such a graph, but the two different methods of decomposition under a negative price change of commodity X have revealed two different natures of commodity X - the Slutsky decomposition concludes that X is normal, while the Hicksian decomposition yields the opposite conclusion. Is there anything that I have done wrong, or if my graph is fine, what would be the correct interpretation of it?
Thanks a lot for helping.
Thanks a lot for helping.