Advertisement

Investment Under Private Ownership: Optimality, Equilibrium and Stability

  • Jacques H. Drèze
Part of the International Economic Association Series book series (IEA)

Abstract

The theory of equilibrium and efficiency of resource allocation, initially developed for a world of certainty, has been reinterpreted for a world of uncertainty, thanks to a suggestion made by Arrow [1] and pursued further by Debreu [7].2

Keywords

Stock Exchange Production Plan Price Equilibrium Optimum Investment Competitive Equilibrium 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

Notes

  1. [1]
    K. J. Arrow, ‘Le rôle des valeurs boursières pour la répartition la meilleure des risques’, pp. 41–7 in Econométrie Colloque International XL (Paris: CNRS, 1953); translated as ‘The Role of Securities in the Optimal Allocation of Risk-Bearing’, Review of Economic Studies, vol. XXXI (1964), pp. 91–6.Google Scholar
  2. [2]
    R. J. Aumann, ‘A Survey of Cooperative Games without Side Payments’, pp. 3–27 in Essays in Mathematical Economics edited by M. Shubik (Princeton: Princeton University Press, 1967).Google Scholar
  3. [3]
    M. Avriel, ‘Solution of Certain Non-Linear Programs Involving r-convex Functions’, Journal of Optimization Theory and Applications vol. XI (1973), pp. 159–74.CrossRefGoogle Scholar
  4. [4]
    M. Avriel and A. C. Williams, ‘Complementary Convex Programming’, Mobil R. & D. Corporation, Progress Memorandum (May 1968).Google Scholar
  5. [5]
    E. Baudier, ‘L’introduction du temps dans la théorie de l’équilibre général’, Cahiers Economiques (1959), pp. 9–16.Google Scholar
  6. [6]
    K. Borch, ‘The Safety Loading of Reinsurance Premiums’, Skandinavisk Aktuarietidskrift vol. XLIII (1960), pp. 163–84.Google Scholar
  7. [7]
    G. Debreu, Theory of Value (New York: Wiley, 1959).Google Scholar
  8. [8]
    G. Debreu, ‘New Concepts and Techniques for Equilibrium Analysis’, International Economic Review vol. III (1962), pp. 257–73.CrossRefGoogle Scholar
  9. [9]
    P. A. Diamond, ‘The Role of a Stock Market in a General Equilibrium Model with Technological Uncertainty’, American Economic Review vol. LVII (1967), pp. 759–76.Google Scholar
  10. [10]
    J. H. Drèze, ‘A Tâtonnement Process for Investment under Uncertainty in Private Ownership Economies’, pp. 3–23 in Mathematical Methods in Investment and Finance ed. by G. P. Szegö & K. Shell (Amsterdam: North-Holland, 1972).Google Scholar
  11. [11]
    J. H. Drèze and D. de la Vallée Poussin, ‘A Tâtonnement Process for Public Goods’, Review of Economic Studies vol. XXXVIII (1971), pp. 133–50.CrossRefGoogle Scholar
  12. [12]
    E. Fama and M. H. Miller, The Theory of Finance (New York: Holt, Rinehart and Winston, 1972).Google Scholar
  13. [13]
    D. K. Foley, ‘Resource Allocation and the Public Sector’, Yale Economic Essays vol. VII (1967), pp. 45–98.Google Scholar
  14. [14]
    L. Gevers, ‘Competitive Equilibrium of the Stock Exchange and Pareto Efficiency’, chapter 10 infra.Google Scholar
  15. [15]
    J. M. Grandmont, ‘On the Short-Run Equilibrium in a Monetary Economy’, chapter 12 infra.Google Scholar
  16. [16]
    R. Guesnerie and T. de Montbrial, ‘Allocation under Uncertainty: a survey’, chapter 4 supra.Google Scholar
  17. [17]
    H. Konno, ‘Bilinear Programming: Part I: Algorithm for Solving Bilinear Programs; Part II: Application of Bilinear Programming’, (Stanford University, California, Technical Reports 9 and 10, 1971).Google Scholar
  18. [18]
    E. Malinvaud, Leçons de théorie microéconomique (Paris: Dunod, 1969).Google Scholar
  19. [19]
    E. Malinvaud, ‘Procédures pour la détermination d’un programme de consommations collectives’, mimeographed (Paris, 1969) (paper presented at the European Meeting of the Econometric Society, Brussels, 1969).Google Scholar
  20. [20]
    O. Mangasarian, Non-Linear Programming (New York: McGraw-Hill, 1969).Google Scholar
  21. [21]
    C. Milleron, ‘Theory of Value with Public Goods: A Survey Article’, Journal of Economic Theory vol. v (1972), pp. 419–77.CrossRefGoogle Scholar
  22. [22]
    D. Sondermann, ‘Temporary Competitive Equilibrium under Uncertainty’, chapter 13 infra.Google Scholar
  23. [23]
    J. Stiglitz, ‘On the Optimality of the Stock Market Allocation of Investment’, The Quarterly Journal of Economics vol. LXXXVI (1972), pp. 25–60.CrossRefGoogle Scholar
  24. [24]
    W. I. Zangwill, Non-Linear Programming, A Unified Approach (Englewood Cliffs: Prentice Hall, 1969).Google Scholar

Copyright information

© International Economic Association 1974

Authors and Affiliations

  • Jacques H. Drèze
    • 1
  1. 1.CoreLouvainBelgium

Personalised recommendations