CALVET, Laurent; GRANDMONT, Jean-Michel; LEMAIRE, Isabelle - Center for Operations Research and Econometrics (CORE), … - 1998
We show in this paper how, in a model of assets exchange in complete competitive markets, heterogeneity of the agent’s sub jective probabilities generates aggregate expenditures for Arrow-Debreu securities that have the gross substitutability property, with the consequences that competitive...