Description
Book SynopsisAdvances in General Equilibrium Theory presents a new approach to the construction of general equilibrium models. It considers the methods that should be adapted and some of the principal subjects with which general equilibrium modelling should be concerned in order to convert it into a useful body of knowledge.
The book examines from new perspectives the major questions that have concerned general equilibrium theorists during this century, including the characteristics of perfect competition and the existence, uniqueness and stability of economic equilibrium. The author develops the concept of models as functioning systems, identifies the differences between models and equation systems and discusses the implications of the differences between mathematical methods and economic determinacy. He demonstrates that the treatment of perfect competition has been deeply flawed, that modern general equilibrium models are not functioning systems, that many equation systems in the literature are not supported by underlying models, and that models which would justify these equations are either improbable or inconceivable. In conclusion, Professor Walker indicates how these perspectives can be used to develop a new general equilibrium model, and presents an outline of its content.
Advances in General Equilibrium Theory will be of special interest to microeconomists and those interested in economic methodology and general equilibrium modelling.
Trade Review'I want to congratulate Professor Walker on what I think is a tour de force
. He effectively demolishes what I have always thought was a very anaemic approach to discussing competition. I am going to suggest that a number of my colleagues read his book and hopefully develop a clearer perspective on the nature of markets.' -- Karl McDermott, National Economic Research Associates and formerly, Illinois Commerce Commission, US
Table of ContentsContents: Introduction 1. The Construction of Functioning Models 2. Descriptions, Equations and Models 3. The Meaning and Conditions of Competition 4. New Perspectives on the Existence of Equilibrium 5. New Perspectives on the Stability and Uniqueness of Equilibrium 6. Reformation and Prospects of General Equilibrium Models Index
