Ellis, Christopher James (1982) Disequilibrium macro-economics in a closed economy : some extensions. PhD thesis, University of Warwick.

Preview

PDF WRAP_Theses_Ellis_1982.pdf - Submitted Version - Requires a PDF viewer. Download (13Mb) | Preview

Request Changes to record.

Abstract

Many contributions to economic theory may be broadly classified as microeconomic or macroeconomic, by which it is meant that they are concerned with questions about the behaviour of rational individual agents in the case of microeconomics or large aggregates in the case of macroeconomics. It would seem reasonable to expect that the results obtained by studying the aggregates should in some sense be compatible with adding up of the behaviour of the individuals which comprise those aggregates. That micro theory and macro theory should at least not be contradictory. On a simple level this may not appear to be the case.

Consider the General Equilibrium model originating from the work of Arrow-Debreu and the standard 'elasticity pessimism' IS/LM representation of Keynesian economics to be the paradigms of micro and macro respectively. It may appear that these two models are in conflict, the general equilibrium model assumes that prices clear markets, such phenomena as unemployment can only arise by the individual choice of the agents concerned, all unemployment is voluntary. One of the crucial features of Keynesian macroeconomic models is the presence of involuntary unemployment. To present these models in this light is to deliberately misinterpret the questions which they are addressing.

The basic question to which general equilibrium addresses itself is in the words of Weintraub (1979, p. 75):
"how (might) it (be) possible for a decentralised individualistic system, operating on principles of self-interest, to produce coherent or co-ordinated outcomes? (of the economic system) . "

Item Type:	Thesis or Dissertation (PhD)
Subjects:	H Social Sciences > HB Economic Theory
Library of Congress Subject Headings (LCSH):	Macroeconomics, Equilibrium (Economics)
Official Date:	1982
Dates:	Date Event 1982 UNSPECIFIED
Institution:	University of Warwick
Theses Department:	Department of Economics
Thesis Type:	PhD
Publication Status:	Unpublished
Supervisor(s)/Advisor:	Stoneman, Paul ; Dixit, Avinash K. ; Ireland, Norman J.
Format of File:	pdf
Extent:	iv, 357 leaves : illustrations
Language:	eng

Request changes or add full text files to a record

Repository staff actions (login required)

View Item

Downloads