| Description |
1 online resource (289 pages) |
| Contents |
Cover; Equilibrium Models inEconomics; Copyright; Dedication; Contents; Preface; Acknowledgements; Prologue:Problems with modelling equilibrium attainment; P.1. A general economic equilibrium as a necessary social optimum; P.2. Maximization is the only behavioural assumption in neoclassical equilibrium models; P.3. On the road to Dynamic Stochastic General Equilibrium models; P.4. OUTLINE OF THIS BOOK; Part I The Purpose and problems for equilibrium models; 1. Equilibrium models and explanation; 1.1. Equilibrium and explanation:Elementary considerations |
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1.1.1. Marshall's two 'Principles' of explanation1.1.2. Long-run vs. short-run equilibria and the role of time; 1.1.3. Comparative statics analysis as thought experiment; 1.2. Equilibrium implies recognition of disequilibrium dynamics; 1.3. Equilibrium and necessary knowledge; 1.4. Marshallian textbook explanations vs. modern economic model building; 2. Equilibrium attainment vs. equilibrium necessities; 2.1. Price adjustment in a formal model; 2.2. Equilibrium attainment as an explicit process; 2.3. Equilibrium vs. imperfect competition |
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3. Does general equilibrium attainment imply universal maximization?3.1. The equilibrium actually reached by an ignorant monopolist; 3.2. An equilibrium state as a sub-optimum; 4. Time and knowledge matters for general equilibrium attainment; 4.1. Knowledge and learning in economic models; 4.2. Richardson on completing an equilibrium model; 4.2.1. The informational requirements for a perfectly competitive equilibrium; 4.2.2. The consequences of reaching a general equilibrium; 4.2.3. Considering the disequilibrium before reaching the equilibrium |
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4.2.4. The availability of needed information in a competitive general equilibrium model5. Equilibrium concepts and critiques:Two cultures; 5.1. Two cultures; 5.2. Equilibrium concepts involving time, dynamics and process; 5.3. Equilibrium concerns of the formal model builders; 5.3.1. Existence; 5.3.2. Uniqueness; 5.3.3. Stability; 5.4. Concerns, beyond realism, of the critics of formal equilibrium models; 5.4.1. Knowledge and information; 5.4.2. Expectations; 5.4.3. Uncertainty; 5.4.4. Increasing returns to scale; 5.4.5. Operational? |
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5.5. Exogenous vs. endogenous variables in equilibrium models:Cause vs. effect?5.5.1. Causality among economists; 5.5.2. Causality and economic model builders; 5.5.3. Can economists so easily avoid causality?; Part 2 The limits of equilibrium models; 6. Recognizing knowledge and learning in equilibrium models; 6.1. Modern attempts to include knowledge and learning; 6.2. Recognizing knowledge in equilibrium models; 6.3. Towards including realistic learning in economic equilibrium models; 6.3.1. Does learning matter in the model? |
| Summary |
The concept of equilibrium is fundamental to economic theory, according to which, it exists when supply and demand are balanced. Equilibrium Models in Economics critically examines the major problematic assumptions employed to build equilibrium models. It gives particular attention to the assumptions used to characterize learning, knowledge and expectations |
| Notes |
6.3.2. What role do probabilities play in the model's decision maker's learning process? |
| Bibliography |
Includes bibliographical references and index |
| Notes |
Print version record |
| Subject |
Equilibrium (Economics)
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Econometric models.
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Econometric models
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Equilibrium (Economics)
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| Form |
Electronic book
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| ISBN |
9780190274344 |
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0190274344 |
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9780190274368 |
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0190274360 |
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9780190274320 |
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0190274328 |
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