EconPapers    
Economics at your fingertips  
 

Default, Efficiency and Uniqueness

Cheng-Zhong Qin, Thomas Quint and Martin Shubik
Additional contact information
Cheng-Zhong Qin: Dept. of Economics, UC Santa Barbara
Thomas Quint: Dept. of Mathematics, University of Nevada, Reno

No 2095, Cowles Foundation Discussion Papers from Cowles Foundation for Research in Economics, Yale University

Abstract: An adequate description of economic dynamics requires the introduction of a monetary system including default penalties and expectations in a society whose economy utilizes money and credit. This essay notes and discusses several of the factors involved in the use of money and credit in a process oriented economy. It links these observations with the general equilibrium treatment of the same underlying economy and formulates a government guidance game where the government sets several key parameters in a monetary economy sufficient to select a unique equilibrium. Low information and error correction are noted. The links to the first and second welfare theorems of GE are also considered as is the setting of the price level.

Keywords: General equilibrium; Strategic market games; Uniqueness; Aggregation; Information; Disequilibrium; Minimal institutions; Playable games (search for similar items in EconPapers)
JEL-codes: C7 D50 E4 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-gth, nep-mac and nep-mon
Date: 2017-07
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://cowles.yale.edu/sites/default/files/files/pub/d20/d2095.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cwl:cwldpp:2095

Ordering information: This working paper can be ordered from
Cowles Foundation, Yale University, Box 208281, New Haven, CT 06520-8281 USA
The price is None.

Access Statistics for this paper

More papers in Cowles Foundation Discussion Papers from Cowles Foundation for Research in Economics, Yale University Yale University, Box 208281, New Haven, CT 06520-8281 USA. Contact information at EDIRC.
Bibliographic data for series maintained by Matthew Regan ().

 
Page updated 2019-10-15
Handle: RePEc:cwl:cwldpp:2095