On Blocking Coalitions: Linking Mas-Colell with Grodal-Schmeidler-Vind

Abstract

In this paper we investigate the question of how many coalitions of a given relative size would block a non-Warlasian allocation in large finite economies. It is shown that in finite economies, if a Pareto optimal allocation is bounded away from being Walrasian, then, for any two numbers α, β between 0 and 1, the proportion of blocking coalitions in the set of all coalitions with relative size between α and β, is arbitrarily close to 1/2, as the number of individuals in the economy becomes large.