34 Pages Posted: 4 May 2016
Date Written: April 1, 2016
Supplement to "Subjective Dynamic Information Constraints" (http://ssrn.com/abstract=2774300). All references to definitions and results in this Supplement refer to Dillenberger, Krishna, and Sadowski (2016, henceforth DKS) unless otherwise specified. This supplement is organized as follows. Section 1 establishes the Abstract Static Representation that is the starting point for our derivations in Appendix C of DKS. Section 2 reviews relevant notions from convex analysis. Section 3 provides a preference independent notion of minimality on the space of rics, which is referred to in Section 6 of DKS. Section 4 provides a metric on the space of partitions as referred to in Appendix A.3 of DKS. Section 5 extends the existence of the RAA representation, which is established in Krishna and Sadowski (2014) for finite prize spaces, to our domain with a compact set of prizes, as discussed in Appendix A.7 of DKS. Finally, Section 6 provides a detailed proof of the partitional representation introduced in Appendix C.1 of DKS.
Suggested Citation: Suggested Citation
Dillenberger, David and Krishna, R. Vijay and Sadowski, Philipp, Supplement to 'Subjective Dynamic Information Constraints' (April 1, 2016). Economic Research Initiatives at Duke (ERID) Working Paper No. 215. Available at SSRN: https://ssrn.com/abstract=2774306