Btw, thanks for suggesting Gale’s book. It looks fascinating.

]]>`Baby Kreps' on you (A Course in Microeconomic Theory). Finally, less fashionable and well off the beaten track is Gale's`

Linear Economic Models’.
]]>on the topics of Farkas’ lemma and linear programming, what do you think is the next book to study after your “Advanced Mathematical Economics”?

Thanks

]]>Actually Eran Shmaya convinced me that I overlooked something important that the GARP characterization gives. Rationalization by a complete order implies rationalization by concave utility.

]]>From Walras’ correspondences we discover that it was Henri Poincare who had to explain the distinction between ordinal and cardinal utility to Walras. The origins of `marginalize’ thinking are also a little murky. It is common to credit Jevons, Menger and Walras. However, Walras’ letters show that he relied on the advice on colleagues in Mathematics and Physics at Lausanne to solve constrained optimization problems and arrive at the principle of marginal utility. In fact Stefan Kolm in his review of Walras’ correspondences writes:

“And while mathematicians supply their inputs in scanty but remarkable letters, while all economists whose names are remembered express their enthusiasm, doubts, arguments or claims to priority, Walras tries to gain acceptance for his ideas through hundreds of letters to writers, scientists, publishers, government engineers, philosophers, officials, and friends.”

It would seem then, that derivative came first, marginals later. Had the ancients stuck to derivatives there would have been less confusion!

rakesh

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