We study welfare and core equivalence for a competitive equilibrium defined on an economy where all commodities are indivisible at the individual level, but perfectly divisible at the aggregate level. In our model is assumed that thereexists a continuum parameter, which can be interpreted as...

Although fiat money is useless in standard Arrow-Debreu models, in this paper we will show that this general conclusion does not hold true when goods are indivisible. In our setting, fiat money is valuable because it facilitates exchange, its price will always be positive and equilibrium...

We study economies where all commodities are indivisible at the individual level, but perfectly divisible at the aggregate level. Paper (fiat) money which does not influence agents preferences may be used to facilitate exchange. In a parallel paper (Florig and Rivera (2002), we introduced a...

In an exchange economy with only private consumption goods we propose acompetitive mechanism to reach any income distribution. We introduce the socalled consumption rights, which is a real parameter that modifies thebudgetaryconstraint of individuals but does not participate in the utility...

Arbitrary small indivisibilities may play an important role when the strong survival assumption does not hold. A hierarchic price is a finite ordered family of price vectors <InlineEquation ID="Equ1"> <EquationSource Format="TEX"><![CDATA[$\{p_1,\ldots ,p_k\}$]]></EquationSource> </InlineEquation>. It extends the notion of exchange values proposed by Gay [15]. These price notions were introduced in order to...</equationsource></inlineequation>

Without a survival assumption, a Walras equilibrium may fail to exist. Only the existence of a quasi-equilibrium can be proven. Several notions of irreducibility were proposed in order to allow a weakening of the survival assumption. We introduce an irreducibility condition which generalizes...