Working Paper

How to test technical conditions

Suehyun Kwon
CESifo, Munich, 2019

CESifo Working Paper No. 7528

This paper identifies technical conditions that are common in contract-theory models or that matter for dynamic structural models but not necessarily static structural models. When possible, tests for the conditions are provided as well. Conditions include the Spence-Mirrlees condition, orthogonality, projection in vector spaces and equilibrium selection among others.

CESifo Category
Empirical and Theoretical Methods
Industrial Organisation