Book Details

Economic Dynamics and Information

Publication year: 2006

ISBN: 978-3-540-32695-3

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This book analyzes the existence of equilibria in economies having a measured space of agents and a continuum of agents and commodities. Excessive homogeneity with respect to agent productivity leads to instability and non-uniqueness of a given stationary state and the indeterminacy of the corresponding stationary state equilibrium. Sufficient heterogeneity leads to global saddle-path stability, uniqueness of a given stationary state and the global uniqueness of the corresponding equilibrium.

Subject: Business and Economics, Chaos, Dynamics, Equilibrium, Incomplete Information, Risk, agents, uncertainty