WORKING PAPERS IN ECONOMICS No 293 Non Utility Maximizing Behaviour: Probabilistic Choice in a Budget Set “Box”. Properties of Expected Demand Functions

Non utility maximizing behaviour: Probabilistic choice in a budget set “box”. Properties of expected demand functions. Abstract. In this paper we use some(even a convex) probabilistic frequency functions in two choice variables defined over the budget set ” box ” and calculate the expected demand to study its properties The expected demands have own price negativity, are normal goods and are homogeneous of degree zero*. The detailed properties of deterministic demand functions can be replaced with similar properties for some expected demand functions the latter found with fewer and behaviourally less restrictive assumptions. To assume a deterministic utility function to be maximized is more restrictive in a behavioural sense than assuming random choice between some boundaries