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New conditions for the existence of Radner equilibrium with infinitely many states

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  • Klishchuk, Bogdan

Abstract

In atomless differential information economies, equilibria are known not to exist prevalently even when agents are risk averse expected utility maximizers. The notion of prevalence involves essentially picking an economy at random. In this paper, however, we establish existence results with economically meaningful assumptions on the information structure. We obtain existence when agents have independent information, and also when the total endowment of the economy is common knowledge.

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  • Klishchuk, Bogdan, 2015. "New conditions for the existence of Radner equilibrium with infinitely many states," Journal of Mathematical Economics, Elsevier, vol. 61(C), pages 67-73.
    • Handle: RePEc:eee:mateco:v:61:y:2015:i:c:p:67-73
    DOI: 10.1016/j.jmateco.2015.08.003
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    References listed on IDEAS

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    Cited by:

    1. Bogdan Klishchuk, 2018. "Multiple markets: new perspective on nonlinear pricing," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 66(2), pages 525-545, August.

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