Abstract
In some applications of equilibrium theory, the fixed point involves not only a state and a value of a parameter in the dual of the state space, but also a particular subspace of the state space. Since the set of all subspaces of a finite-dimensional Euclidean space has a structure which does not allow immediate application of fixed point theorems, the problem must be reformulated using a suitable parametrization of subspaces. One such parametrization, the Plücker coordinates, is used here to prove a general equilibrium existence theorem. Applications to economic problems involving hierarchies of consumers or incomplete markets with real assets are outlined.
| Original language | English |
|---|---|
| Journal | Journal of Advances in Economics and Finance |
| Volume | 2 |
| Issue number | 1 |
| Pages (from-to) | 29-39 |
| ISSN | 2519-5980 |
| DOIs | |
| Publication status | Published - 2017 |
Keywords
- Faculty of Social Sciences
- Existence
- hierarchic equilibrium
- pseudoequilibrium
- Plücker coordinates