31 Pages Posted: 19 Sep 2011 Last revised: 28 Dec 2012
Date Written: December 28, 2012
We prove that every compactly generated non-transferable utility (NTU) game can be generated by a coalition production economy. The set of Walrasian payoff vectors for our induced coalition production economy coincides with the inner core of the balanced cover of the original game. This equivalence depends heavily on our representation. We exemplify that this equivalence need not hold in other representations. We also give a sufficient condition for the existence of a Walrasian equilibrium for our induced coalition production economy.
Keywords: Inner core, coalition production economy, balancedness, Walrasian equilibrium
JEL Classification: D51, C71
Suggested Citation: Suggested Citation
Inoue, Tomoki, Representation of Non-transferable Utility Games by Coalition Production Economies (December 28, 2012). Available at SSRN: https://ssrn.com/abstract=1930319 or http://dx.doi.org/10.2139/ssrn.1930319