Existence of competitive equilibrium in an optimal growth model with heterogeneous agents and endogenous leisure

This paper proves the existence of competitive equilibrium in a single-sector dynamic economy with heterogeneous agents, elastic labor supply and complete assets markets. The method of proof relies on some recent results concerning the existence of Lagrange multipliers in in nite dimensional spaces and their representation as a summable sequence and a direct application of the inward boundary fixed point theorem.

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Year of publication:	2011-11
Authors:	Goenka, Aditya ; Van, Cuong Le ; Nguyen, Manh-Hung
Institutions:	HAL
Subject:	Optimal growth model \| Lagrange multipliers \| Competitive equilib- rium \| Individually Rational Pareto Optimum \| Elastic labor supply

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Extent:	application/pdf
Series:	Post-Print.
Type of publication:	Book / Working Paper
Notes:	View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00639739 Published, Macroeconomic Dynamics, 2011, 1-19
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10010635031