An in-depth exploration of the Arbitrage Pricing Theory (APT), its historical context, key principles, mathematical models, and its significance in financial economics.
An auctioneer manages bidding in auctions and acts as a theoretical device in economics to determine equilibrium prices in competitive markets.
A two-player game that illustrates the gains that can be obtained from coordination and the difficulties of achieving coordination. Typically, it involves a scenario where two players must choose between two options with different preferences but a mutual desire to coordinate.
Comparative Statics involves the analysis of how equilibrium positions in economic models change with variations in exogenous parameters, helping economists understand the effects of policy changes, shifts in preferences, and external shocks.
Competitive Equilibrium is a state in economic theory where market supply and demand balance each other, and prices become stable, under the assumption that all participants are rational and have perfect information.
Dynamics is the study of the time path of an economy, determined by exogenous and endogenous factors as economic agents react to observed outcomes and changing expectations.
Equilibrium is a market condition where quantity supplied equals quantity demanded, and there is no pressure for price change.
An in-depth exploration of equilibrium in economics, covering historical context, types, key events, mathematical models, importance, and applications, with supporting diagrams, examples, and related terms.
Equilibrium Analysis examines systems in a state of balance, often applying a ceteris paribus approach to understand various economic, mathematical, and scientific phenomena.
An in-depth analysis of the Existence of Equilibrium in economic models and games, discussing historical context, types, key events, mathematical models, and its importance in economics.
An in-depth exploration of Game Theory, its historical context, key concepts, types of games, significance, and applications in various fields including economics, finance, and social sciences.
Homeostasis is the ability of an organism to maintain internal equilibrium, crucial for survival amid external environmental changes.
Understanding the intricacies of the identification problem in economics, focusing on the challenge of estimating the parameters of structural equations when only equilibrium positions can be observed.
Exploring the multiple definitions and applications of the kernel in mathematics, econometrics, and game theory.
Understanding the Knock-On Effect in Economics: An in-depth exploration of how one action or event can have secondary or indirect consequences, impacting the entire economic system until a new equilibrium is reached.
Market Clearing refers to the economic process by which the quantity supplied of a good matches the quantity demanded, leading to an equilibrium price.
An in-depth look at the forces of supply and demand that determine equilibrium quantities and prices in markets, contrasted with the influences of government and monetary authorities.
A comprehensive exploration of Market Indecision, a period characterized by an equilibrium between buying and selling pressures, its implications in financial markets, and associated strategies.
The Market-Clearing Price is the price at which the quantity demanded by consumers matches the quantity supplied by producers, leading to market equilibrium.
An in-depth exploration of the mid-market price, including its definition, significance in trading, calculation, historical context, and impact on financial markets.
Multiple equilibrium refers to the situation where an economic model has more than one solution to the equations describing its equilibrium. This concept is crucial in understanding outcomes in economics and game theory.
A comprehensive analysis of Nash Bargaining, a mathematical model in game theory that defines a fair division of resources between two parties.
An equilibrium concept in game theory where each player's strategy is optimal given the strategies of other players. Nash equilibrium finds applications in economics, finance, and beyond.
The concept of no arbitrage asserts that there are no opportunities to earn a risk-free profit with no investment in efficient markets.
A situation in economic models where more than one outcome satisfies the equilibrium conditions, which may be either isolated or form a continuum. It explores economic behaviors, forward-looking activities, and implications of multiple equilibria.
An equilibrium of a multi-stage game in which players do not observe the strategy choices of opponents at previous decision nodes.
Path Dependence refers to the concept that economic and decision-making processes do not move towards a unique predetermined equilibrium but instead reach one of many potential equilibria based on historical paths taken.
Pooling equilibrium refers to a scenario in which agents with differing characteristics choose the same action, such as high-risk and low-risk individuals choosing the same insurance contract.
A Price Vector represents a list of prices for all goods in a multi-good market. This concept is pivotal in economics for modeling, analysis, and equilibrium calculations.
A detailed exploration of the concept of a Representative Firm, including its historical context, applications, and significance in economic theory.
A system where deviations from equilibrium trigger reactions that restore the system to its initial stable state. This concept is pivotal in economics, showcasing how markets can stabilize without external interventions.
A comprehensive analysis of separating equilibrium, a concept where agents with different characteristics opt for distinct actions, often illustrated in markets like insurance where high-risk and low-risk agents choose different contracts.
The condition where a system returns to equilibrium after a disturbance, and the extent to which a product retains its original properties over time.
The conditions for a system to tend to revert to its original position after a disturbance. This encompasses a variety of system states including stationary, steady-state growth paths, or limit cycles, with particular mathematical conditions for linear equations.
Exploring the concept of stasis, a state of inactivity or equilibrium where no change is occurring, across various domains including science, technology, economics, and social sciences.
An in-depth exploration of static equilibrium, its types, mathematical models, historical context, and applications in economics.
The condition where variables remain constant over time after transient effects have dissipated.
A comprehensive article on Temporary Equilibrium in dynamic economic models, exploring its historical context, types, key events, importance, applicability, examples, and related concepts.
Exploration of the built-in stabilizer feature that directs systems toward equilibrium or stability when disturbed, with an emphasis on its economic applications.
The price at which the quantity of goods that producers wish to supply matches the quantity demanders want to purchase, optimizing market efficiency and maximizing profitability for manufacturers.
The volume of a good that will be produced and sold when the market for the good is in equilibrium.
An economic equilibrium that exhibits an equality of expected real interest rates among countries when there are no restrictions on international trade, credit, and currency exchanges.
A comprehensive exploration of macroeconomic equilibrium, where total aggregate income or Gross Domestic Product (GDP) is at a level where expected demand and supply are equated. This state encompasses the planned spending of consumers, businesses, and government.
An in-depth explanation of the Natural Rate of Unemployment, how it relates to the Phillips Curve, and its implications for labor market equilibrium and inflation.
A detailed examination of supply and demand curves, and their intersection point indicating market equilibrium, which determines the equilibrium price and quantity.
Detailed definition of a system, explaining its components, types, special considerations, and examples from various fields.
Explore the definition of equilibrium price, its various types, real-world examples, and methods to calculate it. Understand how equilibrium impacts markets and investors.
A thorough examination of equilibrium quantity, its relationship to price, causes, and economic implications.
A detailed examination of the concept of leakage in economics, its causes, and various examples illustrating its impact on the circular flow of income model.
Explore the concept of underemployment equilibrium, understand its mechanisms, and delve into its social and economic implications. This detailed entry provides a comprehensive overview of underemployment equilibrium, its causes, effects, and significance in macroeconomic analysis.
