A Generalization of the Second Theorem of Welfare Economics for Nonconvex Economies

Donald E Campbell

International Economic Review, 1988, vol. 29, issue 2, 201-15

Abstract: The second welfare theorem is generalized in two ways: (1) for an arbitrary economy, the pap er characterizes the set of allocations that can be supported by some price regime and some distribution of wealth and (2) a condition, we aker than convexity, is shown to suffice for supportability of each P areto optimal allocation and a general second welfare theorem cannot be proved if this condition is relaxed in any way. The paper also unc overs the conditions under which two economies with the same demand a nd supply functions will have identical Pareto optimal allocations. Copyright 1988 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.

Date: 1988
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://links.jstor.org/sici?sici=0020-6598%2819880 ... O%3B2-Y&origin=repec full text (application/pdf)
Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

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: https://EconPapers.repec.org/RePEc:ier:iecrev:v:29:y:1988:i:2:p:201-15

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0020-6598

Access Statistics for this article

International Economic Review is currently edited by Harold L. Cole

More articles in International Economic Review from Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association 160 McNeil Building, 3718 Locust Walk, Philadelphia, PA 19104-6297. Contact information at EDIRC.
Bibliographic data for series maintained by Wiley-Blackwell Digital Licensing () and ().