PRICE EQUILIBRIUM FOR INFINITE HORIZON ECONOMIC MODELS

Abstract

The paper analyzes one-sector models of general equilibrium over an infinite time horizon in which there are an infinite number of agents, these being the members of successive generations. Three aspects of these models are non-optimalities in the form of productive inefficiency, and comsumption non- optimality due to 'inflationary' equilibria, the role of 'credit and its effect on the equilibrium is discussed and it is shown that for simple exchange models steady state equilibria are possible with a permanent imbalance of trade in which one country constantly exports to the other, a phenomenon which cannot occur in the classical model.

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Document Details

Document Type
Technical Report
Publication Date
Aug 01, 1969
Accession Number
AD0694459

Entities

People

  • David Gale

Organizations

  • University of California, Berkeley

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  • C4I

DTIC Thesaurus Topics

  • Abstracts
  • California
  • Commerce
  • Consumers
  • Demographic Cohorts
  • Determinants (Mathematics)
  • Economic Models
  • Economics
  • Engineering
  • Equations
  • Industrial Engineering
  • Military Research
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  • Steady State
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Fields of Study

  • Economics

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  • Calculus or Mathematical Analysis
  • Economics
  • Operations Research