Construction of differentiable utility functions based on trade statistics

Title	Construction of differentiable utility functions based on trade statistics
Authors	V. B. Abrashkina¹, V. K. Gorbunov¹ ¹Ulyanovsk State University
Annotation	The problem of constructing differentiable functions of market demand based on trade statistics of prices and sales quantities of each (primary aggregated) good of the market under study is presented. A parametric least squares method is proposed for estimating the parameters of the utility function, which rationalizes the desired demand using a regression system and Afriate numbers obtained at the first stage by solving a relaxed system of Afriate inequalities.
Keywords	market demand theory, demand functions construction, parametric method.
Citation	Abrashkina V. B., Gorbunov V. K. ''Construction of differentiable utility functions based on trade statistics'' [Electronic resource]. Proceedings of the International Scientific Youth School-Seminar "Mathematical Modeling, Numerical Methods and Software complexes" named after E.V. Voskresensky (Saransk, July 29-31, 2025). Saransk: SVMO Publ, 2025. - pp. 22-27. Available at: https://conf.svmo.ru/files/2025/papers/paper02.pdf. - Date of access: 30.08.2025.