Can we identify Walrasian allocations?
We consider a discrete time, pure exchange infinite horizon economy with two or more consumers and at least one concumption good per period. Within the framework of decentralized mechanisms, we show that for a given consumption trade at any period of time, say at time one, the consumers will need, in general, an infinite dimensional (informational) space to identigy such a trade as an intemporal Walrasian one. However, we show and characterize a set of enviroments where the Walrasian trades at each period of time can be achieved as the equilibrium trades of a sequence of decentralized competitive mechanisms, using only both current prices and quantities to coordinate decisions.
|Date of creation:||1998|
|Date of revision:|
|Contact details of provider:|| Postal: Espai de Recerca en Economia, Facultat de CiÃ¨ncies EconÃ²miques. Tinent Coronel Valenzuela, Num 1-11 08034 Barcelona. Spain.|
Phone: +34 93 402 43 13cazza
Web page: http://www.ere.ub.es
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Venkatesh Bala & Mukul Majumdar & Tapan Mitra, 1991.
"Decentralized evolutionary mechanisms for intertemporal economies: A possibility result,"
Journal of Economics,
Springer, vol. 53(1), pages 1-29, February.
- Bala, V. & Majumdar, M. & Mitra, T., 1990. "Decentralized Evolutionary Mechanisms For Intertemporal Economies - A Possibility Result," Papers 422, Cornell - Department of Economics.
- T. J. Kehoe & D. K. Levine, 1982.
"Comparative Statics and Perfect Foresight in Infinite Horizon Economies,"
312, Massachusetts Institute of Technology (MIT), Department of Economics.
- Kehoe, Timothy J & Levine, David K, 1985. "Comparative Statics and Perfect Foresight in Infinite Horizon Economies," Econometrica, Econometric Society, vol. 53(2), pages 433-53, March.
- Timothy J Kehoe & David K Levine, 1985. "Comparative Statics and Perfect Foresight in Infinite Horizon Economies," Levine's Working Paper Archive 1873, David K. Levine.
- Timothy J. Kehoe & David K. Levine, 1982. "Comparitive Statics and Perfect Foresight in Infinite Horizon Economies," UCLA Economics Working Papers 259, UCLA Department of Economics.
- Kenneth Mount & Stanley Reiter, 1973.
"The Informational Size of Message Spaces,"
3, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Hurwicz, Leonid & Weinberger, Hans F., 1990.
"A necessary condition for decentralization and an application to intertemporal allocation,"
Journal of Economic Theory,
Elsevier, vol. 51(2), pages 313-345, August.
- Leonid Hurwicz & Hans F. Weinberger, 2015. "A Necessary Condition for Decentralization and an Application to lntertemporal Allocation," World Scientific Book Chapters, in: Decentralization in Infinite Horizon Economies, chapter 8, pages 119-151 World Scientific Publishing Co. Pte. Ltd..
- Aizpurua, Jose & Manresa, Antonio, 1993. "An infinite dimensional extension of the theory of decentralized mechanisms," Mathematical Social Sciences, Elsevier, vol. 26(2), pages 157-173, September.
When requesting a correction, please mention this item's handle: RePEc:bar:bedcje:199832. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Espai de Recerca en Economia)
If references are entirely missing, you can add them using this form.