Nataf’s Theorem, Taylor’s Expansion and Homogeneity in Consumer Demand
Macrorelations should obey Nataf’s specification requirements to be decomposable into microrelations. Taylor expansions can command such obedience and indicate the omissions if approximations are used. This paper discusses in section 3 how additional restrictions such as equilibrium conditions can be incorporated in a Taylor framework to increase the variety of possible specifications. In section 4 it is shown how this variety shrinks if the condition of homogeneity must be satisfied. As such it may help to clarify some points of Gorman’s (1981) general theorems on Engel curves. At the same time an inaccuracy in his paper is indicated.
Aggregation of economic relations: A note
SummaryThis note considers aggregation of economic relations over individuals, where individual behavior differs according to individual characteristics, such as income, wealth and tastes. Assuming a multivariate distribution of these characteristics among individuals, aggregate per capita behavior is approximated in terms of the behavior of the average individual, plus a term depending on the nonlinearity of the relation and the covariance matrix of the distribution of the characteristics.
Suitability and water quality criteria of an open drainage municipal sewage water at Coimbatore, used for irrigation.
Sanganur canal is the major open drainage system which has intricate linkage with storm water supply, domestic sewage and industrial effluent disposal. Water samples from various stations were collected and analysed for physicochemical parameters to assess the water quality of the Sanganur canal system. The study revealed that physicochemical parameters like pH, EC, TDS, DO, BOD, COD exceeded the permissible limit, clearly indicating the need of proper treatment of waste water before discharge into the Noyyal river.