1. Core Equivalences for Equilibria Supported by Non-linear Prices
- Author
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Maria Gabriella Graziano, Achille Basile, Basile, Achille, and Graziano, MARIA GABRIELLA
- Subjects
Lyapunov function ,Non-linear supporting price ,Computer Science::Computer Science and Game Theory ,General Mathematics ,Aubin core ,Veto ,jel:C62 ,jel:D61 ,robustly efficient allocation ,Convexity ,Topological vector space ,Potential theory ,jel:D46 ,Theoretical Computer Science ,symbols.namesake ,Information asymmetry ,rational allocation ,Mathematics ,personalized equilibrium ,Edgeworth equilibrium ,jel:C71 ,jel:D51 ,Operator theory ,ordered vector spaces ,Non-linear supporting prices, ordered vector spaces, personalized equilibrium, rational allocation, Edgeworth equilibrium, Aubin core, robustly efficient allocation ,symbols ,Arbitrage ,Mathematical economics ,Analysis - Abstract
The goal of this paper is to provide some new cooperative characterizations and optimality properties of competitive equilibria supported by non-linear prices. The general framework is that of economies whose commodity space is an ordered topological vector space which need not be a vector lattice. The central notion of equilibrium is the one of personalized equilibrium introduced by Aliprantis et al. (J Econ Theory 100:22–72, 2001). Following Herves-Beloso and Moreno-Garcia (J Math Econ 44:697–706, 2008), the veto power of the grand coalition is exploited in the original economy and in a suitable family of economies associated to the original one. The use of Aubin coalitions allows us to connect results with the arbitrage free condition due to non-linear supporting prices. The use of rational allocations allows us to dispense with Lyapunov convexity theorem. Applications are provided in connection with strategic market games and economies with asymmetric information.
- Published
- 2012