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Stable Sets for Exchange Economies with Interdependent Preferences

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Abstract

We introduce the notion of stable sets with externalities and address the existence problem. The importance of this solution concept is related to the fact that the existence of core allocations for exchange economies is not in general assured in a framework with more than two traders.

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  • Maria Gabriella Graziano & Claudia Meo & Nicholas C. Yannelis, 2016. "Stable Sets for Exchange Economies with Interdependent Preferences," CSEF Working Papers 461, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
  • Handle: RePEc:sef:csefwp:461
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    Cited by:

    1. Christian Di Pietro & Maria Gabriella Graziano & Vincenzo Platino, 2019. "Social Loss with Respect to the Core of an Economy with Externalities," CSEF Working Papers 538, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy, revised 29 Aug 2019.
    2. Maria Gabriella Graziano & Claudia Meo & Nicholas C. Yannelis, 2018. "Housing market models with consumption externalities," CSEF Working Papers 500, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.

    More about this item

    Keywords

    Stable sets; interdependent preferences; core; types of agents.;

    JEL classification:

    • C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games
    • D51 - Microeconomics - - General Equilibrium and Disequilibrium - - - Exchange and Production Economies
    • D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General

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