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Walrasian Equilibrium Computation, Network Formation, and the Wen Theorem

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  • Yao, Shuntian

Abstract

The paper studies the Walrasian equilibrium theory of division of labor for large economies with weakly convex production techniques and with the presence of transaction costs. Earlier results published by Wen are revised and generalized so that the new versions can be applied to a much larger category of economic models. A simple example demonstrates how the theoretical results can be used for Walrasian equilibrium computation and equilibrium network structure identification. Copyright 2002 by Blackwell Publishing Ltd

Suggested Citation

  • Yao, Shuntian, 2002. "Walrasian Equilibrium Computation, Network Formation, and the Wen Theorem," Review of Development Economics, Wiley Blackwell, vol. 6(3), pages 415-427, October.
    • Handle: RePEc:bla:rdevec:v:6:y:2002:i:3:p:415-27
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    Cited by:

    1. Diamantaras, Dimitrios & Gilles, Robert P., 2004. "On the microeconomics of specialization," Journal of Economic Behavior & Organization, Elsevier, vol. 55(2), pages 223-236, October.
    2. Robert P. Gilles, 2018. "The Core of an Economy with an Endogenous Social Division of Labour," Papers 1809.01470, arXiv.org.
    3. Cheng, Wenli & Yang, Xiaokai, 2004. "Inframarginal analysis of division of labor: A survey," Journal of Economic Behavior & Organization, Elsevier, vol. 55(2), pages 137-174, October.
    4. Shuntian Yao & Ke Li, 2008. "Economic Networking And Stability," Pacific Economic Review, Wiley Blackwell, vol. 13(5), pages 632-640, December.

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