On the non-emptiness of the core of a coalitional production economy without ordered preferences (Q1825736): Difference between revisions

Core nonemptiness theorems for a coalitional production economy with a non-additive production-set correspondence were established by \textit{V. Boehm} [Rev. Econ. Stud. 41, 429-436 (1974; Zbl 0288.90020)] for the ordered preference case, and by \textit{K. C. Border} [Econometrica 52, 1537-1542 (1984; Zbl 0623.90098)] for the non-ordered preference case. The present paper strengthens Border's theorem by weakening one of his crucial assumptions. While the proofs of Boehm and Border are based on arguments on the nonemptiness of the core defined in the utility-allocation space, the present paper adopts a new technique with which the argument can be made directly on the commodity space. The nonemptiness of the core is first proved in the case where the commodity space is the \(\ell\)-dimensional Euclidean space. The proof is based on a version of the fixed-point theorem which \textit{D. Gale} and \textit{A. Mas-Colell} [J. Math. Econ. 2, 9-15 (1975; Zbl 0324.90010); Correction ibid. 6, 297-298 (1979; Zbl 0422.90018)] established as an extension of a result by \textit{K. Fan} [Inequalities III, Proc. 3rd Symp., Los Angeles 1969, 103-113 (1972; Zbl 0302.49019)]. The nonemptiness theorem is then extended to the case where the commodity space is an arbitrary Hausdorff linear topological space.