Seminar in Microeconomics - Damiano Turchet (University of Warwick)

Wann
Donnerstag, 6. Juli 2023
14 bis 15 Uhr

Wo
University Konstanz, F208

Veranstaltet von

Vortragende Person/Vortragende Personen:
Damiano Turchet (University of Warwick)

Titel: On the Existence of Monopoly Equilibrium: a Substitutability Approach

We study the existence of a monopoly equilibrium in the bilateral mixed exchange framework introduced in Busetto et al.(2023). Non existence examples in which small traders have CES utility functions are provided and a link between the existence of an equilibrium and the degree of substitutability of the goods is explored. Therefore, the existence result is proved by introducing a sufficient assumption on the utilities of the small traders, stressing that we need them to be locally equivalent to a constant elasticity of scale utility function, whose elasticity parameter is greater than unity. 

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