Document Type
Article
Publication Date
1-1-2016
Journal / Book Title
Economics Bulletin
Abstract
Under certain conditions on the excess demand function, it is shown that the set of equilibrium prices coincides with the set of maximizers of a potential function. Therefore, monotone comparative statics techniques can be employed to study how equilibrium prices change when there are shocks to the parameters of the model. As a by-product of our analysis, it turns out that the set of equilibrium prices is a convex lattice.
MSU Digital Commons Citation
Ruscitti, Francesco and Dubey, Ram Sewak, "Monotone comparative statics in general equilibrium" (2016). Department of Economics Faculty Scholarship and Creative Works. 97.
https://digitalcommons.montclair.edu/economics-facpubs/97
Rights
This Open Access article is shared in accordance with publisher guidelines.
Published Citation
Ruscitti, Francesco and Dubey, Ram Sewak, Monotone Comparative Statics in General Equilibrium (January 6, 2016). Economics Bulletin (2016) Volume 36, Issue 1, pages 187-197, Available at SSRN: https://ssrn.com/abstract=2653388 or http://dx.doi.org/10.2139/ssrn.2653388