Herings, P. Jean-Jacques; Rohde, Kirsten I.M. - Maastricht : METEOR, Maastricht Research School of … - 2004
We reconsider the allocational invariance of equilibria to different formulations of market completeness. We identify the so-far neglected assumption of sophisticated behavior as crucial to this result. The paper studies three market structures. First, the Arrow-Debreu setting is considered....