To make high-quality research more accessible and easier to explore.

Fields:

Temporary General Equilibrium in a Sequential Trading Model with Spot and Futures Transactions

Econometrica 1973 41(6), 1103
[The existence of an equilibrium is proven for a two-period model in which there are spot transactions and futures transactions in the first period and spot markets in the second period. Prices at that date are viewed with subjective uncertainty by all traders. This introduces the possibility of speculation. Conditions for the existence of a competitive equilibrium include restriction on the nature of price expectations.]