Local strict envy-freeness in large economies

✍ Scribed by Susumu Cato

• Book ID: 104045950
• Publisher: Elsevier Science
• Year: 2010
• Tongue: English
• Weight: 304 KB
• Volume: 59
• Category: Article
• ISSN: 0165-4896
• DOI: 10.1016/j.mathsocsci.2010.01.002

✦ Synopsis

This paper proposes a concept of local strict envy-freeness (LS-envy-freeness), which is a local version of Zhou's (1992) strict envy-freeness, and investigates its implications in large economies. In spite of the weakness of this concept, it works effectively by combining with efficiency. It is shown that an LS-envyfree and efficient allocation is a strict envy-free allocation. That is, efficiency expands the local version of strict envy-freeness into strict envy-freeness. Therefore, the set of LS-envy-free and efficient allocations coincides with the set of equal-income Walrasian allocations.