Approximate Cores of a General Class of Economies: Part II. Set-Up Costs and Firm Formation in Coalition Production Economies

Martin Shubik and Myrna Wooders

No 619, Cowles Foundation Discussion Papers from Cowles Foundation for Research in Economics, Yale University

Abstract: A general model of a coalition production economy allowing set-up costs, indivisibilities, and non-convexities is developed. It is shown that for all sufficiently large replications, approximate cores of the economy are non-empty.

Pages: 36 pages
Date: 1982-02
Note: CFP 592.
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Published in Mathematical Social Sciences (1983), 6: 285-306

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