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The Stahl-Alexeev paradox: A note

Publication ,  Journal Article
Gang, IN; Tower, E
Published in: Journal of Economic Theory
January 1, 1988

We offer a simple proof of the paradox discovered by Stahl and Alexeev that the introduction of black markets in a fixed price economy with a rationing mechanism consisting of waiting line queues is not necessarily a Pareto improvement. We show that the paradoxical result arises from the fact that queue length is endogenous and illustrates the general principle that permitting an additional market may be undesirable in an economy which has other distortions. © 1988.

Duke Scholars

Published In

Journal of Economic Theory

DOI

EISSN

1095-7235

ISSN

0022-0531

Publication Date

January 1, 1988

Volume

44

Issue

1

Start / End Page

189 / 191

Related Subject Headings

  • Economic Theory
  • 3803 Economic theory
  • 3801 Applied economics
  • 1499 Other Economics
  • 1401 Economic Theory
 

Citation

APA
Chicago
ICMJE
MLA
NLM
Gang, I. N., & Tower, E. (1988). The Stahl-Alexeev paradox: A note. Journal of Economic Theory, 44(1), 189–191. https://doi.org/10.1016/0022-0531(88)90103-2
Gang, I. N., and E. Tower. “The Stahl-Alexeev paradox: A note.” Journal of Economic Theory 44, no. 1 (January 1, 1988): 189–91. https://doi.org/10.1016/0022-0531(88)90103-2.
Gang IN, Tower E. The Stahl-Alexeev paradox: A note. Journal of Economic Theory. 1988 Jan 1;44(1):189–91.
Gang, I. N., and E. Tower. “The Stahl-Alexeev paradox: A note.” Journal of Economic Theory, vol. 44, no. 1, Jan. 1988, pp. 189–91. Scopus, doi:10.1016/0022-0531(88)90103-2.
Gang IN, Tower E. The Stahl-Alexeev paradox: A note. Journal of Economic Theory. 1988 Jan 1;44(1):189–191.
Journal cover image

Published In

Journal of Economic Theory

DOI

EISSN

1095-7235

ISSN

0022-0531

Publication Date

January 1, 1988

Volume

44

Issue

1

Start / End Page

189 / 191

Related Subject Headings

  • Economic Theory
  • 3803 Economic theory
  • 3801 Applied economics
  • 1499 Other Economics
  • 1401 Economic Theory