Existence of an equilibrium in incomplete markets with discrete choices and many markets

We define and prove the existence of an equilibrium for Bewley-style models of heterogeneous agents in incomplete markets with discrete and continuous choices. Our sample model also features endogenous price volatility across many markets (locations) but still has a steady state equilibrium with a finite-dimensional state space. Our proof of existence uses Kakutani�s Fixed Point Theorem and does not require the set of households that are indifferent between two discrete choices to be measure zero.