Showing 1 - 10 of 117
/or biological traits, and identify through four decisive examples, essentially based on a matching-pennies type game, pathologies … arising from the use of a Lebesgue interval for playerʼs names. In a sufficiently general context of traits and actions, we … existence and upper hemi-continuity of pure-strategy Nash equilibria in large games with traits. We illustrate the idealized …
Persistent link: https://www.econbiz.de/10011043030
This paper demonstrates the class of atomless spaces that accurately models the space of players in a large game which represents an idealized limit of a sequence of finite-player games. Through two examples, we show that arbitrary atomless probability spaces, in particular, the Lebesgue unit...
Persistent link: https://www.econbiz.de/10010930794
An exchange economy in which agents have convex incomplete preferences defined by families of concave utility functions is considered. Sufficient conditions for the set of efficient allocations and equilibria to coincide with the set of efficient allocations and equilibria that result when each...
Persistent link: https://www.econbiz.de/10010678864
We prove existence and purification results for strategic environments possessing a product structure that includes classes of large games, stochastic games, and models of endogenous institutions. Applied to large games, the results yield existence of pure-strategy equilibria allowing for...
Persistent link: https://www.econbiz.de/10011189746
We show that an unbounded number of consumption dates is necessary to support an asset pricing bubble. We work in a continuous-time model where the number of trade dates is infinite but the number of consumption dates is flexible and can be chosen to be uniformly bounded, finite almost surely,...
Persistent link: https://www.econbiz.de/10010662401
When the trading process is characterized by search frictions, traders may be rationed so markets need not clear. We build a general equilibrium model with transferable utility where the uncertainty arising from rationing is incorporated in the definition of a commodity, in the spirit of the...
Persistent link: https://www.econbiz.de/10010930786
Partial equilibrium analysis has a conceptual dilemma that its object should be negligibly small in order to be free from income effect but then the consumer does not care for it and the notion of willingness to pay for it does not make sense. In the setting of a continuum of commodities, we...
Persistent link: https://www.econbiz.de/10010616901
We explore the link between wealth inequality and output fluctuations in a general two-sector neoclassical growth model with endogenous labor and heterogeneous agents. When agents have homogeneous CRRA preferences and individual wealth is Pareto distributed, a sufficiently large rise in the Gini...
Persistent link: https://www.econbiz.de/10010572367
We analyze a market populated by expected utility maximizers and smooth ambiguity-averse consumers. We study conditions under which ambiguity-averse consumers survive and affect prices in the limit. If ambiguity vanishes with time or if the economy exhibits no aggregate risk, ambiguity-averse...
Persistent link: https://www.econbiz.de/10011189747
We analyze sunspot-driven fluctuations in the standard two-sector RBC model with moderate increasing returns to scale and generalized no-income-effect preferences à la Greenwood, Hercovitz and Huffman [13]. We provide a detailed theoretical analysis enabling us to derive relevant bifurcation...
Persistent link: https://www.econbiz.de/10011263592