Not Available for Download
Add Paper to My Library
Permalink
Using these links will ensure access to this page indefinitely
Copy URL

Recent Challenges to the Classical Gains-from-Trade Proposition

Posted: 20 Mar 2003

See all articles by Murray C. Kemp

Murray C. Kemp

Macquarie University - College of Commerce; UNSW Australia Business School, School of Economics; Chukyo University

Koji Shimomura

Kobe University - Research Institute for Economic and Business Administration

Abstract

The classical gains-from-trade conjecture was finally given a thorough Arrow-Debreu proof in 1972. Since then, the proposition has been repeatedly challenged. Some of the challenges rest on grounds which in no respect violate Arrow-Debreu assumptions. Those challenges are therefore without foundation. The remaining challenges rest on the assertion that some of the Arrow-Debreu assumptions are unnatural and unnecessarily restrictive or on the imposition of artificial restrictions on the set of permissible compensatory transfers. We conclude that none of the challenges can be sustained.

Suggested Citation

Kemp, Murray C. C. and Shimomura, Koji, Recent Challenges to the Classical Gains-from-Trade Proposition. Available at SSRN: https://ssrn.com/abstract=347141

Murray C. C. Kemp (Contact Author)

Macquarie University - College of Commerce ( email )

Sydney, New South Wales
Australia

UNSW Australia Business School, School of Economics ( email )

High Street
Sydney, NSW 2052
Australia
+61 2 9385 3325 (Ext. 3325) (Phone)
+61 2 9313 6337 (Fax)

Chukyo University

101-2 Yagoto Honmachi
Showa-ku Institute of Economics
Nagoya-shi, Aichi-ken

Koji Shimomura

Kobe University - Research Institute for Economic and Business Administration ( email )

2-1, Rokkodai-cho, Nada-ku
Kobe, 657-8501
Japan
+81 78 881 1212 (Phone)
+81 78 861 6434 (Fax)

Not Available for Download

Do you have a job opening that you would like to promote on SSRN?

Place Job Opening

Paper statistics

Abstract Views
1,095
PlumX Metrics

Related eJournals