A note on the core of a monetary economy
Article Abstract:
It is noted that there are monetary equilibria in the core of a model of overlapping generations. Profiles of national debt are presented that may be agreed upon by describing policies that support allocations in the core. It is shown the assertions that Walrasian equilibrium with constant positive stocks of outside assets cannot support equilibrium in the core, and that introducing money into a Walrasian system in similar to creating a new social institution are not uniformly correct in an economy with only a few agents in each generation or for those where the gains from trade are particularly high.
Publication Name: Journal of Economic Theory
Subject: Economics
ISSN: 0022-0531
Year: 1997
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Economies with many commodities
Article Abstract:
A model is developed which considered only pure exchange economies to define welfare economics in conditions of infinite dimesional commodity spaces in a Walrasian equilibria in the Arrow-Debreu-McKenzie framework. The welfare theorems were examined for Pareto efficiency to show that the allocation requires no adjustment to balance the budget. Exchange economies, preferences and utility functions are also discussed.
Publication Name: Journal of Economic Theory
Subject: Economics
ISSN: 0022-0531
Year: 1997
User Contributions:
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