COWLES FOUNDATION FOR RESEARCH IN ECONOMICS
AT YALE UNIVERSITY

Post Office Box 208281
New Haven, CT 06520-8281

COWLES FOUNDATION DISCUSSION PAPER NO. 619

"Approximate Cores of a General Class of Economies.
Part II. Set-Up Costs and Firm Formation in Coalition Production Economies"

Martin Shubik and Myrna Holtz Wooders

February 1982

A general model of a coalition production economy allowing set-up costs, indivisibilities, and non-convexities is developed. It is shown that for all sufficiently large replications, approximate cores of the economy are non-empty.

See CFP 592