On economic efficiency under non-convexity

B-Tier
Journal: Economic Theory
Year: 2012
Volume: 50
Issue: 3
Pages: 671-701

Authors (2)

Score contribution per author:

1.009 = (α=2.02 / 2 authors) × 1.0x B-tier

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

Abstract

This paper investigates economic efficiency under non-convexity. The analysis relies on a generalization of the separating hyperplane theorem under non-convexity. The concept of zero-maximality is used to characterize Pareto efficiency under non-convexity. We show the existence of a separating hypersurface that can be used to provide a dual characterization of efficient allocations. When the separating hypersurface is non-linear, this implies that non-linear pricing is an integral part of economic efficiency. Implications for the decentralization of economic decisions under non-convexity are discussed. Copyright Springer-Verlag 2012

Technical Details

RePEc Handle
repec:spr:joecth:v:50:y:2012:i:3:p:671-701
Journal Field
Theory
Author Count
2
Added to Database
2026-01-25