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More on equilibria in competitive markets with externalities and a continuum of agents

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Balder, Erik J.

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Abstract

Equilibrium existence results are presented for competitive markets with externalities in price and consumption and a measure space of agents. These unify and extend [Balder, E.J., 2003. Existence of competitive equilibria in economies with a measure space of consumers and consumption externalities. Preprint, in press, electronically available at http://www.math.uu.nl/publications/preprints/1294.ps.gz; Balder, E.J., 2005. More about equilibrium distributions for competitive markets with externalities. Working paper, Department of Economics, University of Illinois.] and generalize the main existence results by Aumann [Aumann, R.J., 1964. Markets with a continuum of traders. Econometrica 32, 39-50], Schmeidler [Schmeidler, D., 1969. Competitive equilibria in markets with a continuum of traders and incomplete preferences. Econometrica 37, 578-585; Schmeidler, D., 1973. Equilibrium points of nonatomic games. Journal of Statististical Physics 7, 295-300.], Greenberg et al. [Greenberg, J., Shitovitz, B., Wieczorek, A., 1979. Existence of equilibria in atomless production economies with price dependent preferences. Journal of Mathematical Economics 6, 31-41.], Yamazaki [Yamazaki, A., 1978. An equilibrium existence theorem without convexity assumptions. Econometrica 46, 541-555.], Noguchi [Noguchi, M., 2005. Interdependent preferences with a continuum of agents. Working paper, Meijo University, 2001. Journal of Mathematical Economics 41, 665-686.], Cornet [Cornet, B., Topuzu, M., 2005. Existence of equilibria for economies with externalities and a measure space of consumers. Economic Theory 26, 397-421.], and Noguchi and Zame [Noguchi, M. and Zame, W.R., 2004. Equilibrium distributions with externalities. Preprint.].

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Article provided by Elsevier in its journal Journal of Mathematical Economics.

Volume (Year): 44 (2008)
Issue (Month): 7-8 (July)
Pages: 575-602
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Handle: RePEc:eee:mateco:v:44:y:2008:i:7-8:p:575-602

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