Existence of equilibria when firms follow bounded losses pricing rules - Archive ouverte HAL
Article Dans Une Revue Journal of Mathematical Economics Année : 1988

Existence of equilibria when firms follow bounded losses pricing rules

Résumé

We consider a general equilibrium model of an economy with increasing returns to scale or more general types of non-convexity in production. The firms are instructed to set their prices according to general pricing rules which are supposed to have bounded losses. This includes the case of loss-free pricing rules hence, in particular, profit maximizing and average cost pricing. As for the marginal (cost) pricing rule, the bounded losses assumption for a firm is shown to be equivalent to the ‘star-shapedness' of its production set. This paper reports a general existence result in this model.

Dates et versions

hal-00187223 , version 1 (14-11-2007)

Identifiants

Citer

Jean-Marc Bonnisseau, Bernard Cornet. Existence of equilibria when firms follow bounded losses pricing rules. Journal of Mathematical Economics, 1988, 17 (2-3), pp.119-147. ⟨10.1016/0304-4068(88)90003-1⟩. ⟨hal-00187223⟩
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