Approximate aggregation of excess demand functions

From MaRDI portal





As consistent aggregation is hardly ever possible, some kind of ``approximate aggregation seems to be required. In this paper an approximate aggregation procedure is defined within the framework of Walrasian market excess demand functions, and it is shown that with this concept certain basic properties will be inherited by the approximate macromodel. Indeed, gross substitutability is implied for the macromodel by a much weaker property of the underlying microsystem. Thus, the disadvantage of having only an approximate macromodel is partly compensated by the fact that certain ``anomalies of the micromodel are ``smoothed away.











This page was built for publication: Approximate aggregation of excess demand functions

Report a bug (only for logged in users!)Click here to report a bug for this page (MaRDI item Q1104227)