Dynamical systems in Walrusian general equilibrium
The role of dynamical systems in general equilibrium analysis is chronicled. Starting with the introduction of a suitable phase space and evolution model, fundamental existence and stability results are proved. From here, many negative statements regarding the convergence of the price mechanism a...
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| Format: | Others |
| Language: | en |
| Published: |
2015
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| Online Access: | http://hdl.handle.net/10539/17032 |
| Summary: | The role of dynamical systems in general equilibrium analysis is chronicled. Starting
with the introduction of a suitable phase space and evolution model, fundamental
existence and stability results are proved. From here, many negative statements
regarding the convergence of the price mechanism and attempts to rectify these
conclusions are examined.
The conclusion is that either the traditional economic hypotheses behind the model
need to be reexamined or the economist’s dream of a universal pricing mechanism
must be abandoned. |
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