Journal article
Equilibrium theory with unbounded consumption sets and non-ordered preferences Part I. Non-satiation
Journal of mathematical economics, Vol.44(11), pp.1266-1283
12/01/2008
DOI: 10.1016/j.jmateco.2008.04.005
Abstract
A new condition is introduced for the existence of equilibrium for an economy where preferences need not be transitive or complete and the consumption set of each agent need not be bounded from below. The new condition allows us to extend the literature in two ways. First, the result of the paper can cover the case where the utility set for individually rational allocations may not be compact. As illustrated in Page et al. [ Page Jr., F.H., Wonders, M.H., Monteiro, P.K., 2000. Inconsequential arbitrage. Journal of Mathematical Economics 34, 439-469], the no arbitrage conditions do not apply to an economy with a non-compact utility set. Second, we generalize the arbitrage-based equilibrium theory to the case of non-transitive preferences. 2008 Elsevier B.V. All rights reserved.
Details
- Title: Subtitle
- Equilibrium theory with unbounded consumption sets and non-ordered preferences Part I. Non-satiation
- Creators
- Dong Chul Won - Ajou UniversityNicholas C. Yannelis - University of Illinois Urbana-Champaign
- Resource Type
- Journal article
- Publication Details
- Journal of mathematical economics, Vol.44(11), pp.1266-1283
- Publisher
- Elsevier
- DOI
- 10.1016/j.jmateco.2008.04.005
- ISSN
- 0304-4068
- eISSN
- 1873-1538
- Number of pages
- 18
- Language
- English
- Date published
- 12/01/2008
- Academic Unit
- Economics
- Record Identifier
- 9984380427702771
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