Lone wolves in competitive equilibria
Work detail
This paper develops a class of equilibrium-independent predictions of competitive equilibrium with indivisibilities. Specifically, we prove an analogue of the "Lone Wolf Theorem" of classical matching theory, showing that when utility is perfectly transferable, any agent who does not participate in trade in one competitive equilibrium must receive her autarky payoff in every competitive equilibrium. Our results extend to approximate equilibria and to settings in which utility is only approximately transferable.
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- Open Author
Scott Duke Kominers
- Open Author
Harvard Business School
- Open Author
Ravi Jagadeesan
- Open Author
Ross Rheingans-Yoo
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