A Theory of the Perturbed Consumer with General Budgets

We consider demand systems for utility-maximizing consumers facing general budget constraints whose utilities are perturbed by additive linear shifts in marginal utilities. Budgets are required to be compact but are not required to be convex. We define demand generating functions (DGF) whose subgradients with respect to these perturbations are convex hulls of the utility-maximizing demands. We give necessary as well as sufficient conditions for DGF to be consistent with utility maximization, and establish under quite general conditions that utility-maximizing demands are almost everywhere single-valued and smooth in their arguments. We also give sufficient conditions for integrability of perturbed demand. Our analysis provides a foundation for applications of consumer theory to problems with nonlinear budget constraints

A Heating and Cooling Load Model for Single-Family Detached Dwellings in Energy Survey Data

The National Interim Energy Consumption Survey (NIECS) and the Pacific Northwest Residential Energy Survey (PNW) are clustered random samples of households interviewed between 1978 and 1980. These surveys report household equipment holdings and energy consumption levels by fuel, as well as selected household and dwelling characteristics. To study the economic determinants of equipment and usage behavior, it is necessary to first describe the economic environment in which behavior is determined. This technical report carries out the construction of heating-ventilating-air conditioning (BVAC) physical characteristics and costs for the alternative systems available to single-family owner-occupied households. The approach of this report is to construct a very simple thermal model of representative dwellings with characteristics corresponding to those available in typical energy survey data. This model is used to estimate heating and cooling capacity requirements, energy usage, and physical characteristics, for households in the (NIECS) and (PNW) surveys. Cost data from Means (1981) are then used to estimate the capital and operating costs of 19 alternative BVAC configurations for the actual thermal integrity of the building shell and for two alternative thermal standards