## Table of Contents

**Table of Contents**

Preface

Foreword

About the Author

Chapter 1. Introduction

Chapter 2. Static Consumer Theory: A Review

Chapter 3. Discrete-time Dynamic Optimization

Chapter 4. Utility Maximization in Dynamic Framework

Chapter 5. Duality and Wealth Compensated Demand

Chapter 6. Dynamic Slutsky Equations

Chapter 7. Dynamic Consumption under Random Horizon and Uncertain Income

Chapter 8. Consumption Amid Uncertainties in Income, Life-span and Preferences

Chapter 9. Stochastic Future Prices and Consumption Decision

Afterword

List of Identities and Equations

References

Index

**Reviews**

“As a researcher I found this book as a pioneering and fundamental work of dynamic consumer theory. There is no other work which goes as deeply into this field than this book. It is not only an excellent reference of the field, but Dr Yeung, as the leading researcher of this field, introduced many new developments and results, some of which were not published before.” <a href=”https://novapublishers.com/wp-content/uploads/2019/03/Book-Review-Dynamic-Consumer-Theory_A-Premier-Treatise-with-Stochastic-Dynamic-Slutsky-Equations-Szidarovszky.pdf” target=”_blank” rel=”noopener”>READ MORE.. – Ferenc Szidarovszky, Professor, University of Pecs, Applied Mathematics Department, Hungary.

**References**

Alchian, A.A. (1953) The Meaning Of Utility Measurement. American Economic Review, 43: 26-50. Alessie, R., Devereux, M.P., Weber, G. (1997) Intertemporal Consumption, Durables And Liquidity Constraints: A Cohort Analysis. European Economic Review,41(1): 37-59. Allen, R.G.D. (1936) Professor Slutsky’s Theory of Consumers’ Choice. Review of Economic Studies, 3, 120-129.Allen, R.G.D. (1950) The Work Of Eugen Slutsky.Econometrica,18, 209-216.Arrow, K.J. (1964) The Role Of Securities In The Optimal Allocation of Risk Bearing.Review of Ecomomic Studies, 31: 91-96.Bank, P., Riedel, F. (2001) Optimal Consumption Choice with Intertemporal Substitution. The Annals of Applied Probability, 11(3): 750-788.Basar, T., Olsder, G.J. (1995) Dynamic Noncooperative Game Theory, 2nd Edition, Academic Press, London.Bellman, R. (1957)Dynamic Programming. Princeton, Princeton University Press. Benavie, A. (1972) Mathematical Techniques for Economic Analysis.Englewood Cliffs, NJ: Prentice Hall.Bernoulli, D. (1954) Exposition of A New Theory On The Measurement Of Risk (1738), (Trans. By L. Sommer). Econometrica, 22: 23-36.Bertsekas, D.P. (1995) Dynamic Programming and Optimal Control. Belmont, Mass.: Athena Scientific.Bertsekas, D.P., Shreve, S.E. (1996) Stochastic Optimal Control: The Discrete-Time Case. Athena Scientific.Bhamra, H.S., Uppal, R. (2006) The Role Of Risk Aversion And Intertemporal Substitution In Dynamic Consumption-Portfolio Choice With Recursive Utility. Journal Of Economic Dynamics & Control,30(6): 967-991. Cheung, M.T., Yeung, D.W.K. (1995) Microeconomic Analytics, New York, Prentice Hall. Chiang, C.A. (2004) Fundamental Methods of Mathematical Economics.Mcgraw-Hill/Irwin.Chipman, J.S., Hurwicz, L., Richter, M.K. And Sonnenschein, H.F. (eds) (1971)Preferences, Utility, and Demand. Harcourt Brace Jocanovich, New York.Davis, J.H. (2002) Foundations of Deterministic And Stochastic Control. Boston: Birkhäuser.Debreu, G. (1964) Continuity Properties of Paretian Utility.International Economic Review, 5: 285-293.Diewert, W.E. (1971) An Applicantion of The Shephard Duality Theorem: A Generalized Leontief Production Function. Journal of Political Economy, 79: 481-507.Dooley, P.C. (1983) Slutsky’s Equation Is Pareto’s Solution.History of Political Economy,15: 513-517. Dutkowsky, D.H., Foote, W.G. (1992) Intertemporal Substitution In Macroeconomics: Consumption, Labor Supply, And Money Demand. The Review of Economics and Statistics, 74(2): 333-338.Dybvig, P.H. (1995) Dusenberry’s Ratcheting of Consumption: Optimal Dynamic Consumption And Investment Given Intolerance For Any Decline In Standard of Living. The Review of Economic Studies,62(211): 287. Epps, T.W. (1975) Wealth Effects and Slutsky Equations For Assets. Econometrica, 43: 301-303. Fischer, S. (1972) Assets, Contingent Commodities, and The Slutsky Equations. Econometrica, 40: 371-385. Fleming, W.H. (1969) Optimal Continuous-Parameter Stochastic Control.SIAM Review, 11: 470-509.Fleming, W.H., Rishel, R.W. (1975) Deterministic and Stochastic Optimal Control. Applications of Mathematics, Vol. 1, Springer-Verlag, New York, Heidelberg And Berlin.Friedman, M. (1953) The Marshallian Demand Curve, In Essays in Positive Economics, University Of Chicago Press, Chicago. Friedman, M., Savage, L.J. (1948) The Utility Analysis of Choices Involving Risk. Journal of Political Economy, 56: 279-304. Grandville, O. (1989) In The Quest Of The Slutsky Diamond.American Economic Review, 79(3): 468-481. Hall, R.E. (1988) Intertemporal Substitution In Consumption. Journal of Political Economy, 96(2): 339-57Hicks, J.R., Allen, R.G.D. (1934) A Reconsideration of the Theory of Value. Parts 1-2. Economica, New Series, 1, 52-76 & 196-219. (Reprinted In Hicks 1981, pp. 114-32) Houthakker, H.S. (1960) Additive Preferences, Econometrica, 28: 244-257. Intrilligator, M.D. (1971) Mathematical Optimization and Economic Theory,Englewood Cliffs, N.J.: Prentice-Hall Kageyama, J. (2011) The Intertemporal Allocation of Consumption, Time Preference, And Life-History Strategies.Journal of Bioeconomics,13(2): 79-95. Kapteyn, A., Kleinjans, K.J., Van Soest, A. (2009) Intertemporal Consumption With Directly Measured Welfare Functions and Subjective Expectations. Journal of Economic Behavior & Organization,72(1): 425-437. Kapteyn, A., Teppa, F. (2003) Hypothetical Intertemporal Consumption Choices. Falsethe Economic Journal, 113(486): C140-C152. Karatzas, L., Lehoczky, J.P, Shreve, S.E. (1990) Existence And Uniqueness Of Multi-Agent Equilibrium In A Stochastic, Dynamic Consumption/Investment Model, Mathematics Of Operations Research,15(1): 80. Krantz, S.G., Parks, H.R. (2002) The Implicit Function Theorem: History, Theory, and Applications. Boston : Birkhäuser.<BR>Lau, L.J. (1969) Duality and The Structure Of Utility Functions. Journal of Economic Theory, 1: 374-395.Luce, R.D., Raiffa, H. (1957) Games and Decisions, John Wiley & Sons, Inc., New York.Mcfadden, D., Winter, S. (1968) Lecture Notes on Consumer Theory. University Of California At Berkeley: Unpublished.Neely, C.J., Roy, A., Whiteman, C.H. (2001) Risk Aversion Versus Intertemporal Substitution: A Case Of Identification Failure In The Intertemporal Consumption Capital Asset Pricing Model. Journal of Business & Economic Statistics,19(4): 395-403.Pareto, V. (1893) Consideraziono Sui Principoo Fondamentali Dell’economia Politica Pura (Considerations on The Fundamental Principles Of Pure Political Economy) Part5. Giornal Degli Economisti, Series 2 (October), 279-321. Pareto, V. (1909) Manual of Political Economy (Translated By A.S. Schwier In 1971). New York, Augustus M. Kelley.Puterman, M.L. (2005) Markov Decision Processes: Discrete Stochastic Dynamic Programming, Wiley-Interscience.Roy, R. (1947) La Distribution Du Revenu Entre Les Divers Biens.Econometrica, 15: 205-225Samuelson, P.A. (1948) Consumption Theory In Terms Of Revealed Preference, Economica, 15: 243-253.Schultz, H. (1935) Interrelations of Demand, Price, and Income. Joumal of Political Economy,43, 433-81. <BR>Seierstad, A. (2009) Stochastic Control in Discrete and Continuous Time New York: Springer.Silberberg, E. (1972) Duality and The Many Consumers’ Surpluses. American Economic Review, 62: 942- 956. Silberberg, E., Suen, W. (2001) The Structure Of Economics: A Mathematical Analysis. Mcgraw-Hill, 2001.Slutsky, E.E. (1915) Sulla Teoria Del Bilancio Del Consumatore. Giornale Degli Economisti, 51, 1–26. Varian, H. (1992) Microeconomic Analysis (3rd Edition). New York, W. W. Norton. Von Neumann, J., Morgenstern, O. (1944) Theory of Games and Economic Behavior, Princeton Univerisy Press, Princeton, NJ.Weber, C.E. (1999) More on Slutsky’s Equation As Pareto’s Solution. History of Political Economy, 31, 575-586. Yeung, D.W.K. (2013) Optimal Consumption under an Uncertain Inter-Temporal Budget: Stochastic Dynamic Slutsky Equations, Vestnik St Petersburg University: Mathematics (Springer), 10(3): 121-141.Yeung, D.W.K. (2014a) Optimal Consumption under Uncertainties: Random Horizon Stochastic Dynamic Roy’s Identity and Slutsky Equation.Applied Mathematics, 5: 263-284.Yeung, D.W.K. (2014b) Random Horizon Stochastic Dynamic Slutsky Equation Under Preference Uncertainty, Applied Mathematical Sciences, Forthcoming In 2014.Yeung, D.W.K., M. T. Cheung (1995) Sensitivity Analysis In Parametrised Optimization: A Geometric Exegesis.International Journal of Mathematical Education in Science and Technology, 20: 920-922.Yeung, D.W.K., Petrosyan, L.A. (2010) Subgame Consistent Solutions for Cooperative Stochastic Dynamic Games. Journal of Optimization Theory and Applications, 145(3): 579-596.Yeung, D.W.K., Petrosyan, L.A. (2011) Subgame Consistent Cooperative Solution of Dynamic Games With Random Horizon. Journal of Optimization Theory and Applications, 150: 78-97.Yeung, D.W.K., Petrosyan, L.A. (2012a) Subgame Consistent Solution For Cooperative Stochastic Dynamic Games With Random Horizon.International Game Theory Review, 14(2): 1250012.01- 1250012.22.Yeung, D.W.K., Petrosyan, L.A. (2012b) Subgame Consistent Economic Optimization: An Advanced Cooperative Dynamic Game Analysis, Boston: Birkhäuser. Yeung, D.W.K., Petrosyan, L.A. (2013) Subgame-Consistent Cooperative Solutions In Randomly Furcating Stochastic Dynamic Games. Mathematical and Computer Modelling, 57(3-4): s976–991.Yeung, D.W.K., Petrosyan, L.A. (2014) Subgame-Consistent Cooperative Solutions In Randomly Furcating Stochastic Dynamic Games With Uncertain Horizon, International Game Theory Review, 16(2): 1440012.01- 1440012.29.

**The audiences** of the book include graduate students in economics and mathematics; researchers in economics, consumer study, business and optimization; economists, financial planners, and applied mathematicians