Article ID Journal Published Year Pages File Type
956755 Journal of Economic Theory 2013 18 Pages PDF
Abstract

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 agent has a utility in her family are provided. Welfare theorems in an incomplete preferences framework therefore hold under these conditions and efficient allocations and equilibria are characterized by first order conditions.

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Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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