phenomena. The most important Endogenous Uncertainty examined in this paper is price uncertainty which arises when agents do not … Rational Beliefs as in Kurz [1994a]. The trading of endogenous uncertainty is accomplished by using Price Contingent Contracts … (PCC) rather than the Arrow-Debreu state contingent contracts. The paper provides a full construction of the "price state …

This paper connects two branches of economics in a study of the price formation of industrial commodities. The first … branch is the theory of irreversible investment under uncertainty, the second the theory of competitive speculation in stocks …. A model which combines these two elements is developed and applied to the aluminium market. The theory of irreversible …

Endogenous Uncertainty is that component of economic risk and market volatility which is propagated within the economy … by the beliefs and actions of agents. The theory of Rational Belief (see Kurz [1994]) permits rational agents to hold … structure of market expectations. To make the case for this theory we present a single RBE model, which builds on developments …

fringe. When the competitive fringe is large enough, there exists a unique fully revealing equilibrium, in which the price … high price and mimicking a high quality is not profitable when the competitive fringe is large enough. Since a higher price … effect of asymmetric information and learning on the equilibrium outcomes. More uninformed buyers increases the price …