Indivisibilities

The analysis of this volume represents an attempt to apply modern mathematical techniques to the problems arising from large and significant indivisibilities. While the classical microeconomic theory refers to assumptions about the convexity of production sets and consumer preferences, this book directs the attention to indivisible commodities. It investigates the influence of the assumed indivisibilities of factors and goods on the results of the microeconomic theory of the firm, the theory of the household and market theory.

I. Microeconomic Theory with Respect to Indivisibilities. - II. Microeconomic Foundations. - 1 Axiomatic Characterization of Individual Economic Agents. - 2 Theory of the Firm. - 3 Summary. - 4 Appendix. - III. Microeconomic Theory of Individual Agents. - 1 The Cost Structure of a Firm. - 2 Alternative Representation of the Finn s Cost Structure. - 3 Optimal Activities in the Theory of the Household. - IV. Theory of Market Equilibria. - 1 The Problem of General Equilibria. - 2 Existence of Competitive Equilibria. - 3 Generalization of the Model of an Exchange Economy. - V. Critique. - Mathematical Appendix. - Tables. - References.