Believe or not believegeneralising the Azzi-Ehrenber model

  1. Lorca Corrons, Alejandro
  2. Gourlay, Adrian
  3. Brañas-Garza, Pablo
  4. Rodero-Cosano, Javier
Journal:
Cuadernos de economía: Spanish Journal of Economics and Finance

ISSN: 2340-6704 0210-0266

Year of publication: 2002

Volume: 25

Issue: 69

Pages: 33-44

Type: Article

More publications in: Cuadernos de economía: Spanish Journal of Economics and Finance

Metrics

CIRC

  • Social Sciences: B

Abstract

This paper presents an economic model of consumer behaviour within a religious framework. The individual is defined as being religious so, for him God exists with absolute certainty. We distinguish two separate aims of the individual: human welfare and spiritual welfare. Joint maximisation of these two targets subject to time and budgetary constraints yields a solution in which the optimal values of consumption and religiosity are obtained. Allowance is also given to the compulsory payment of a religious tax. We show that the shape of the interchange curve between these two optimal values depends upon the relative shapes of the human welfare and spiritual welfare functions.