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Existence of Competitive Equilibria without Standard Boundary Behavior
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Applied Mathematics·Volume 02 (2011)·Pages 1397–1404·Published 30 November 2011·DOI10.4236/am.2011.211198
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Abstract
We study the existence of competitive equilibria when the excess demand function fails to satisfy the standard boundary behavior. We introduce alternative boundary conditions and we examine their role in proving the existence of strictly positive solutions to a system of non-linear equations (competitive equilibium prices). In addition, we slightly generalize a well-known theorem on the existence of maximal elements, and we unveil the link between the hypothesis of our theorem and one of the boundary conditions introduced in this work.
KeywordsExcess Demand FunctionCompetitive EquilibriumSet-Valued FunctionsSelectionsFixed PointsMaximal Elements
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