Scandinavian Working Papers in Economics
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Department of Economics, Lund University Working Papers, Department of Economics, Lund University

No 2014:9:
A Method for Finding the Maximal Set in Excess Demand

Tommy Andersson (), Albin Erlanson (), Jens Gudmundsson (), Helga Habis (), Jim Ingebretsen Carlson () and Jörgen Kratz ()

Abstract: We present a polynomial time method for identifying the maximal set in excess demand at a given payoff vector. This set can be used in "large" partnership formation problems to identify the minimum element in the set of individually rational payoff vectors at which there is no overdemanded set of agents. This minimum element corresponds to the minimum Walrasian equilibrium price vector in a special case of the partnership formation problem.

Keywords: Partnership formation; polynomial time method; excess demand; (follow links to similar papers)

JEL-Codes: C61; C62; (follow links to similar papers)

7 pages, March 7, 2014

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This paper is forthcoming as:
Andersson, Tommy, Albin Erlanson, Jens Gudmundsson, Helga Habis, Jim Ingebretsen Carlson and Jörgen Kratz, 'A Method for Finding the Maximal Set in Excess Demand', Economics Letters.

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