EconPapers    
Economics at your fingertips  
 

On Efficient Trading Mechanisms with Ex-Post Individually Rational Traders

Stefano Galavotti ()

No 161, Working Papers from Department of Applied Mathematics, Università Ca' Foscari Venezia

Abstract: This paper studies a bilateral trading setting where the two agents are not ex-ante identified, in the sense that each of them may end up being a net buyer or a net seller. We derive a sufficient condition that ensures the existence of an (ex-post) efficient, (ex-post) budget balanced, (interim) incentive compatible trading mechanism that always yields a positive net utility to all agents (ex-post individually rational). This result improves a former existence result based on interim individual rationality showing that the stronger requirement of ex-post individual rationality does not always rule out efficiency.

JEL-codes: D02 D40 D44 D82 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cta
Date: 2008-04
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link)
http://virgo.unive.it/wpideas/storage/2008wp161.pdf First version, 2008 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:vnm:wpaper:161

Access Statistics for this paper

More papers in Working Papers from Department of Applied Mathematics, Università Ca' Foscari Venezia
Contact information at EDIRC.
Series data maintained by Marco LiCalzi ().

 
Page updated 2014-04-08
Handle: RePEc:vnm:wpaper:161