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Una aplicación del análisis no diferenciable a la economía matemática: caracterización de la hipótesis de libre eliminación por medio del cono normal a la frontera del conjunto

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  • Jorge Rivera

    ()
    (Universidad de Chile)

Abstract

This paper is devoted to study some analytical properties of sets that satisfy the free disposal hypothesis. This hypothesis plays a relevant role in general equilibrium theory, because it is widely used to ensure both the positiveness of equilibrium prices and the efficiency of equilibrium allocation. The main result of this paper is a characterization of this hypothesis in terms of the normal cone to the set at its boundary points.

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Bibliographic Info

Article provided by Ilades-Georgetown University, Universidad Alberto Hurtado/School of Economics and Bussines in its journal Revista de Analisis Economico.

Volume (Year): 19 (2004)
Issue (Month): 2 (December)
Pages: 147-156

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Handle: RePEc:ila:anaeco:v:19:y:2004:i:2:p:147-156

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Keywords: Free Disposal Hypothesis; Normal Cone; Equilibrium.;

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  1. Khan, M Ali & Vohra, Rajiv, 1987. "An Extension of the Second Welfare Theorem to Economies with Nonconvexities and Public Goods," The Quarterly Journal of Economics, MIT Press, vol. 102(2), pages 223-41, May.
  2. Bonnisseau, Jean-Marc, 1988. "On two existence results of equilibria in economies with increasing returns," Journal of Mathematical Economics, Elsevier, vol. 17(2-3), pages 193-207, April.
  3. BONNISSEAU, Jean-Marc & CORNET, Bernard, . "Existence of equilibria when firms follow bounded losses pricing rules," CORE Discussion Papers RP -814, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
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