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A remark on rational expectation equilibria with incomplete markets and real assets

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  • Hubert Stahn

    (BETA - Bureau d'Économie Théorique et Appliquée - INRA - Institut National de la Recherche Agronomique - UNISTRA - Université de Strasbourg - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique)

Abstract

In this note, I establish the existence, for a generic set of endowments, of a fully revealing rational expectation equilibrium in an economy characterized by incomplete markets and real assets.

Suggested Citation

  • Hubert Stahn, 2000. "A remark on rational expectation equilibria with incomplete markets and real assets," Post-Print hal-05221019, HAL.
    • Handle: RePEc:hal:journl:hal-05221019
    DOI: 10.1016/S0304-4068(99)00025-7
    Note: View the original document on HAL open archive server: https://hal.science/hal-05221019v1
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    References listed on IDEAS

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    1. Allen, Beth E, 1981. "Generic Existence of Completely Revealing Equilibria for Economies with Uncertainty when Prices Convey Information," Econometrica, Econometric Society, vol. 49(5), pages 1173-1199, September.
    2. Radner, Roy, 1979. "Rational Expectations Equilibrium: Generic Existence and the Information Revealed by Prices," Econometrica, Econometric Society, vol. 47(3), pages 655-678, May.
    3. Hubert Stahn, 1996. "Le prix des titres comme véhicule de l’information: une approche en équilibre général," Post-Print hal-05220974, HAL.
    4. Pietra, Tito & Siconolfi, Paolo, 1998. "Fully revealing equilibria in sequential economies with asset markets," Journal of Mathematical Economics, Elsevier, vol. 29(2), pages 211-223, March.
    5. Duffie, Darrell & Shafer, Wayne, 1985. "Equilibrium in incomplete markets: I : A basic model of generic existence," Journal of Mathematical Economics, Elsevier, vol. 14(3), pages 285-300, June.
    6. Anderson, Robert M. & Sonnenschein, Hugo, 1982. "On the existence of rational expectations equilibrium," Journal of Economic Theory, Elsevier, vol. 26(2), pages 261-278, April.
    7. Polemarchakis, H M & Siconolfi, P, 1993. "Asset Markets and the Information Revealed by Prices," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 3(4), pages 645-661, October.
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