This article presents formalizations in higher-order logic of two proofs of Arrow’s impossibility theorem due to Geanakoplos. The Gibbard-Satterthwaite theorem is derived as a corollary. Lacunae found in the literature are discussed.

Previous studies have discussed how speakers select a frame (e.g., “half full,” or “half empty”), and have proposed a hypothesis such as reference point hypothesis (e.g., Sher & McKenzie, 2006, 2008). In this paper, we propose a new hypothesis, frame choice based on information about rarity. This hypothesis predicts that speakers tend to select a frame denoting a rare event. Four studies provid...

We analyze comparative risk aversion in a new way, through a comparative statics problem in which, for a cost, agents can shift from an initial probability distribution toward a preferred distribution. The Ross characterization arises when the original distribution is riskier than the preferred distribution and the cost is monetary, and theArrow–Pratt characterization ariseswhen the original di...

Investors facing restrictions on the portfolios that they can trade, is more of a norm than an exception. We consider a model in which investors’ portfolio sets are constrained. As in Balasko, Cass and Siconolfi (1990) these constraints are exogenously given (possibly arising due to some institutional reasons). Moreover, we consider very general restrictions on portfolio sets as in Siconolfi (1...

Wallace attempts to analyse central bank interest rate control in a cashless, ArrowDebreu economy. The model incorporates only the unit of account function of money and exhibits a version of the classical dichotomy in which arbitrary accounting prices are independent of the equilibrium real relative price vector. A model with these properties is incapable of providing a theory of the price leve...

This paper establishes a clear connection between equilibrium theory, game theory and social choice theory by showing that, for a well defined social choice problem, a condition which is necessary and sufficient to solve this problem limited arbitrage is the same as the condition which is necessary and sufficient to establish the existence of an equilibrium and the core . The connection is stre...

Quasiliearity is a ubiquitous and questionable assumption in the standard study of Walrasian equilibria. Quasilinearity implies that a buyer’s value for goods purchased in a Walrasian equilibrium is always additive with goods purchased with unspent money. It is a particularly suspect assumption in combinatorial auctions, where buyers’ complex preferences over goods would naturally extend beyond...

We explore theoretically and experimentally the general equilibrium price and allocation implications of delegated portfolio management when the investor-manager relationship is non-exclusive. Investors transfer their securities allocations to managers, managers trade in a competitive marketplace to achieve new allocations, and payo↵s are distributed back to investors after subtraction of a por...

We study the no arbitrage characterization of asset prices in the presence of capital gains and income taxes. The distinguishing feature of our analysis is that we impose on the model two important features of the tax code that have received little attention in the academic literature: the limited use of capital losses and the inability to wash sell. We show that under remarkably mild condition...

We introduce a framework for analyzing Bertrand-Edgeworth equi-libria in nite Arrow-Debreu exchange economies. A key feature of the framework is the way trade takes place. There are two main stages. In the rst stage agents simultaneously choose prices and quantities of commodities they want to sell. In the second stage they enter the markets as buyers sequentially and choose only quantities of ...