We study decentralized trade processes in general exchange economies and house allocation problems with and without money. The processes are affected by persistent random shocks stemming from agents' maximization of random utility. By imposing structure on the utility noise term--logit...

We study a Gale-like matching model in a large exchange economy, in which trade takes place through non-cooperative bargaining in coalitions of finite size. Under essentially the same conditions of core equivalence, we show that the strategic equilibrium outcomes of our model coincide with the...

In their analysis of strategic information transmission, Vincent Crawford and Joel Sobel (1982) showed the existence of partition equilibria (Theorem 1). Although the theorem itself is correct, the proof contains some incorrect statements. We present a counter‐example and provide a correct...