Existence of equilibria in exhaustible resource markets with economies of scale and inventories
The paper proves the existence of equilibrium in nonrenewable resource markets when extraction costs are non-convex and resource storage is possible. Inventories atten the consumption path and eliminate price jumps at the end of the extraction period. Market equilibrium becomes then possible, contr...
| Main Authors: | , , |
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| Format: | Working paper |
| Published: |
University of Oxford
2014
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