Approximate equilibria in markets with indivisible commodities |
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Authors: | M Ali Khan Salim Rashid |
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Affiliation: | Department of Political Economy, The Johns Hopkins University, Baltimore, Maryland 21218 USA;Department of Economics, University of Illinois at Urbana-Champagne, Urbana, Illinois 50801 USA |
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Abstract: | This paper presents results on the existence of approximate equilibria in large but finite exchange economies in which all the traders have non-convex consumption sets. As such, the paper gives a natural extension, to the finite economy, of Mas-Colell's results on existence with indivisible commodities and a continuum of agents. It also presents an approximate equilibrium theorem without any assumption of compactness or bounded non-convexity of preferences. |
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