Temporary financial equilibrium (Q1865190)

The referred paper deals with the model of equilibrium in a two-period pure exchange economy with financial assets. The interest is focused on the concept of a temporary financial equilibrium as an equilibrium of the current spot and security markets under given forecast functions of future prices and pay-offs. The main result regards the equivalence between this temporary financial equilibrium model and Arrow-Debreu economy where prefeences are price-dependent.