The set of equilibrium prices in linear exchange economies is by Mertens (1996) a convex polyhedral cone (after adding {0}). We give a constructive proof of this fact. From this, we derive a lower semi-continuity property of the equilibrium price correspondence. The set of equilibrium...

A hierarchic price is a finite ordered family of price vectors {p1,...,pk}. It extends the notion of exchange values proposed by Gay (1978). These price notions were introduced in order to establish the existence of a competitive equilibrium without the strong survival assumption. It is well...

In this paper we first prove an equilibrium existe theorem for finite dimensional economies with unbounded below consumption sets. We only assume that the individually rational utility set is compact and use the demand approach instead of the standard Negishi's approach. We next compare the...

This paper adapts the methods of Minimax-Hedging developped in Bernis & Giraud [2000] to other models of financial markets, including discontinuous semi-martingale. The measure of the risk is defined as the value of a zero-sum game between the investor and a fictitious player, representing the...

In a multiperiod economy with incomplete markets and assets that exhibit a payoff depending on price history, we show that one need not perturb back office and settlement feature of assets to get endowment generic existence of an equilibrium. We exhibit a class of assets -transverse assets - and...

The empirical evidence on sources of corporate financing strongly suggests that firms prefer internally generated funds to debt and debt to equity in financing their investment activities. What is the economic rationale for this preference ordering or pecking order? We provide an explanation...

Traditional trade models ignoring the dimension of product quality generally lead to excessively low trade price elasticities. In this paper, we show that higher estimated trade price elasticities, more in conformity with theory, can be obtained by controlling product quality in trade equations....

We develop here a framework of cross currency arbitrage in the presence of a currency peg. In particular the relationship between interest rate and FX derivatives is analysed in such a framework.

This paper presents a surprising example. It shows that lattice theoretic properties in Mas-Colell's (1986) seminal work are relevant to the existence of equilibrium problem even when commodity space is finite dimensional. The paper provides an example of an economy with three commodities and...

Recent geography and trade empirical studies based on monopolistic competition [Hanson, 1998 ; Head and Ries, 1999 ; Hummels, 1999], suggest high levels of trade price elasticities (between 3 and11). However, direct estimations of price-elasticities in trade equations, using price indexes at...