Infinite dimensional tensor variational inequalities with applications to an economic equilibrium problem

Abstract

In this paper, we present a general oligopolistic market equilibrium model in which each firm produces several commodities in a time interval. To this aim, we introduce tensor variational inequalities in Hilbert spaces which are a powerful tool to analyse the model. Indeed we characterize the equilibrium condition by means of a suitable time-dependent tensor variational inequality. In addition, we prove some existence and regularity results and a numerical scheme to compute the solution. Finally we provide a numerical example.