Stable processes of exchange (Q2519067)

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Stable processes of exchange
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    Stable processes of exchange (English)
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    22 January 2009
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    The paper's concern is a study of exchange dynamics in an agent-based setting. Consumers can contact traders (who are responsible for coordination of exchange) in a process where realistic restrictions are imposed on information-flow among all market agents. Such an approach allows for preserving individualism of agents (in a decentralized and stochastic fashion), which is not possible in any aggregate process of equilibrium formation. Moreover, since mathematical conditions for (global) stability of equilibrium in the standard excess-demand setting are rather stringent, the multi-agent approach gives a chance to avoid the restrictions and -- at the same time -- to reach an end in form of a process of exchange which -- in a probabilistic sense -- converges to Pareto-equilibria (even in case of badly behaving Scarfs example). The paper is clearly and precisely written, hough it is not a formal presentation of theorems and proofs: it presents ideas illustrated by results of numerical experiments.
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    general equilibrium
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    agent-based modeling
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