13

In this paper, we study Nash equilibrium in a smooth public goods economy, described as a noncooperative game, where the set of players is a mixed-measure space of consumers. We assume a finite number of private goods. We show that under certain conditions, there exists a unique Nash equilibrium in the economy, where the public goods are produced with a linear technology. Moreover, we discuss the difference in market power between an atomless sector and an atom with the same utility function and an atom with its split atomless sector in both a pure exchange economy and a public goods economy.Classification JEL : C72, H41.