Competitive Equilibrium of a Sequence of Incomplete Markets with a Continuum of Agents

Abstract

By introducing the Large Economical Ideas to multi-period financial market, we have constructed the multi-period economy with incomplete market and a continuum of agents. The competitive equilibrium has been proposed and the existence has been claimed. Our equilibrium definition is a development compared to that described by Radner, and our conclusion for equilibrium existence has generalized the related results obtained by Aumann and Zhang, if only the future contracts and goods are traded on security-spot markets.