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the core), and fairness (in a sense to be defined). We first show that the cooperative game associated with that problem … is convex: its core is therefore large and easily described. Next, we propose the following fairness requirement: no … that only one welfare distribution in the core satisfies this condition: its marginal contribution vector corresponding to …
Persistent link: https://www.econbiz.de/10005696235
We extend the Consumption-based CAPM (C-CAPM) model for representative agents with different risk attitudes. We introduce the concept of expectation dependence and show that for a risk averse representative agent, it is the first-degree expectation dependence rather than the covariance that...
Persistent link: https://www.econbiz.de/10008764982
We present a general equilibrium model of monopolistic competition featuring pro-competitive effects and a competitive limit, and investigate the impact of trade on welfare and efficiency. Contrary to the constant elasticity case, in which all gains from trade are due to product diversity, our...
Persistent link: https://www.econbiz.de/10009195552
We extend the Consumption-based CAPM (C-CAPM) model to representative agents with different risk attitudes. We first use the concept of expectation dependence and show that for a risk averse representative agent, it is the first-degree expectation dependence (FED) rather than the covariance that...
Persistent link: https://www.econbiz.de/10010535500
We present a general equilibrium model of monopolistic competition featuring pro-competitive effects and a competitive limit, and investigate the impact of trade on welfare and efficiency. Contrary to the constant elasticity case, in which all gains from trade are due to product diversity, our...
Persistent link: https://www.econbiz.de/10008528552
À l’aide d’un modèle de cycles réels, la présente étude vise à expliquer, de façon endogène, les fluctuations des termes de l’échange en Côte-d’Ivoire. Pour ce faire, nous cherchons principalement à répondre aux deux questions suivantes : les chocs d’offre et de demande sur...
Persistent link: https://www.econbiz.de/10005133117
We offer an axiomatization of the serial cost-sharing method of Friedman and Moulin (1999). The key property in our axiom system is Group Demand Monotonicity, asking that when a group of agents raise their demands, not all of them should pay less.
Persistent link: https://www.econbiz.de/10008617052
With diminishing global water reserves the problem of water allocation becomes increasingly important. We consider the problem of efficiently sharing a river among a group of satiable countries. Inducing countries to efficiently cooperate requires monetary compensations via international...
Persistent link: https://www.econbiz.de/10008617059
A common real-life problem is to fairly allocate a number of indivisible objects and a fixed amount of money among a group of agents. Fairness requires that each agent weakly prefers his consumption bundle to any other agent’s bundle. Under fairness, efficiency is equivalent to budget-balance...
Persistent link: https://www.econbiz.de/10008671538
A group of agents participate in a cooperative enterprise producing a single good. Each participant contributes a particular type of input; output is nondecreasing in these contributions. How should it be shared? We analyze the implications of the axiom of Group Monotonicity: if a group of...
Persistent link: https://www.econbiz.de/10008671572