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Suboptimality with land

Author

Listed:
  • Kokonas, Nikos

    (Department of Economics, University of Bath)

  • Polemarchakis, Herakles

    (Department of Economics, University of Warwick)

Abstract

In a stochastic economy of overlapping generations subject to uninsurable risks, competitive allocations need not be constrained optimal. This is the case even in the presence of long-lived assets and no short sales.

Suggested Citation

  • Kokonas, Nikos & Polemarchakis, Herakles, 2015. "Suboptimality with land," CRETA Online Discussion Paper Series 13, Centre for Research in Economic Theory and its Applications CRETA.
    • Handle: RePEc:wrk:wcreta:13
    as

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    File URL: https://warwick.ac.uk/fac/soc/economics/research/centres/creta/papers/manage/13-suboptimality_with_land.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    long-lived assets ; optimality JEL classification numbers: D52 ; D61;
    All these keywords.

    JEL classification:

    • D52 - Microeconomics - - General Equilibrium and Disequilibrium - - - Incomplete Markets
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis

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