Equilibrium of a production economy with unbounded attainable allocation set

Senda Ounaies (1, 2) , Jean-Marc Bonnisseau (1, 3) , Souhail Chebbi (4)

1 CES - Centre d'économie de la Sorbonne
2 UTM - Université de Tunis El Manar
3 PSE - Paris School of Economics
4 KSU - King Saud University [Riyadh]

In this paper, we consider a production economy with an unbounded attainable set where the consumers may have non-complete non-transitive preferences. To get the existence of an equilibrium, we provide an asymptotic property on preferences for the attainable consumptions. We show that this condition holds true if the set of attainable allocations is compact or, when preferences are representable by utility functions, if the set of attainable individually rational utility levels is compact. So we extend the previous existence results with unbounded attainable sets in two ways by adding a production sector and considering general preferences.

Mots clés: production economy; non complete non transitive preferences; quasi-equilibrium; unbounded attainable allocations

Domaines: Economies et finances; Analyse fonctionnelle [math.FA]

Senda Ounaies, Jean-Marc Bonnisseau, Souhail Chebbi. Equilibrium of a production economy with unbounded attainable allocation set. 2016. ⟨halshs-01382539v1⟩