Sperner’s lemma and competitive equilibrium with incomplete financial markets

Journal article: We establish the existence of a competitive equilibrium in a two-period stochastic economy with incomplete financial markets by using Sperner’s lemma. Our existence result covers (but is not limited to) several results in the literature, including the cases of nominal and numéraire assets. Moreover, there may exist a continuum of equilibrium prices.

Author(s)

Thanh Le, Cuong Le Van, Ngoc-Sang Pham, Cagri Saglam

Journal
  • Economics Letters
Date of publication
  • 2024
Keywords JEL
C3 D5 G1
Keywords
  • Sperner’s lemma
  • Fixed-point theorem
  • General equilibrium
  • Incomplete market
  • Indeterminacy
Pages
  • 111720
Version
  • 1
Volume
  • 238