Revealed Preference Methods

Revealed Preference Methods are techniques used in economics to understand people's choices based on their actual behavior rather than what they say they would do. When researchers observe how individuals make decisions—like what products they buy, how much they pay, or which routes they take—they can infer their preferences and value for things. This helps in assessing the worth of goods, services, or policies without asking people directly, providing insights into real-life decision-making in areas like consumer behavior, environmental policy, and public goods.