Infinite horizon economies. A survey. (English) Zbl 0842.90015
Florenzano, Monique (ed.) et al., Approximation and optimization in the Caribbean II. Proceedings of the 2nd international conference held in Havana, Cuba, September 26 - October 1, 1993. Frankfurt a. M.: Peter Lang. Approximation Optimization. 8, 455-480 (1995).
Summary: The theory of infinite horizon economies is concerned with problems of production and allocation over time. The infinity of potential dates of delivery and consumption of goods gives rise to several new problems in equilibrium theory, and some of the insights from the finite horizon theory do not hold true any more.
In the present survey, we propose a unified treatement of infinite horizon economies as a projective limit of suitable families ordinary finite economies. It is shown that this approach gives a simple way of studying a class of infinite economies using known results on finite economies. The classical parts of equilibrium theory (existence, uniqueness, welfare, core, implementation) are considered in this light, and the power and shortcomings of the method are commented upon. As a by-product, we obtain some new results which emerge as simple generalizations of similar results in the finite case.
For the entire collection see [Zbl 0836.00031].
In the present survey, we propose a unified treatement of infinite horizon economies as a projective limit of suitable families ordinary finite economies. It is shown that this approach gives a simple way of studying a class of infinite economies using known results on finite economies. The classical parts of equilibrium theory (existence, uniqueness, welfare, core, implementation) are considered in this light, and the power and shortcomings of the method are commented upon. As a by-product, we obtain some new results which emerge as simple generalizations of similar results in the finite case.
For the entire collection see [Zbl 0836.00031].
MSC:
| 91B62 | Economic growth models |
