The existence of equilibrium without fixed-point arguments

Maćkowiak, Piotr (2010): The existence of equilibrium without fixed-point arguments. Published in: The existence of equilibrium without fixed-point arguments , Vol. 46, No. 6 (2010): pp. 1194-1199.

Abstract

This paper gives a proof of the existence of general equilibrium without the use of a fixed point theorem. Unlike other results of this type, the conditions we use do not imply that the set of equilibrium prices is convex. We use an assumption on the excess demand correspondence that is related to, but weaker than, the weak axiom of revealed preference (WARP). The proof is carried out for compact and convex valued upper hemicontinuous excess demand correspondences satisfying this WARP-related condition and some other standard conditions. We also provide an algorithm for finding equilibrium prices.

• Item Type: MPRA Paper
• Language: English
• Keywords: existence of economic equilibrium; the weak axiom of revealed preference; excess demand correspondence; distribution economies; law of demand
• Subjects: D - Microeconomics > D5 - General Equilibrium and Disequilibrium > D50 - General; C - Mathematical and Quantitative Methods > C6 - Mathematical Methods ; Programming Models ; Mathematical and Simulation Modeling > C62 - Existence and Stability Conditions of Equilibrium

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