Substitute goods, auctions, and equilibrium

A-Tier
Journal: Journal of Economic Theory
Year: 2009
Volume: 144
Issue: 1
Pages: 212-247

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper identifies two notions of substitutes for auction and equilibrium analysis. Weak substitutes, the usual price-theory notion, guarantees monotonicity of Tatonnement processes and convergence of clock auctions to a pseudo-equilibrium, but only strong substitutes, which treats each unit traded as a distinct good with its own price, guarantees that every pseudo-equilibrium is a Walrasian equilibrium, that the Vickrey outcome is in the core, and that the "law of aggregate demand" is satisfied. When goods are divisible, weak substitutes along with concavity guarantees all of the above properties, except for the law of aggregate demand.

Technical Details

RePEc Handle
repec:eee:jetheo:v:144:y:2009:i:1:p:212-247
Journal Field
Theory
Author Count
2
Added to Database
2026-01-26