This paper provides an overview of competing and supplementing methodologies for modelling the regional economic dynamics. The discussion provides a primer on how regional CGE, Econometric, Input-Output and SAM based models work towards capturing the region-specific, interregional and...

January 22, 2000 (Revised) <p> Endogenous Uncertainty is that component of economic risk and market volatility which is propagated within the economy by the beliefs and actions of agents. The theory of Rational Belief (see Kurz [1994]) permits rational agents to hold diverse beliefs and...</p>

In many countries, taxes on businesses are less progressive than labor income taxes. This paper provides a justification for this pattern based on adverse selection that entrepreneurs face in credit markets. Individuals choose between becoming entrepreneurs or workers and differ in their skill...

This paper is an extension of my paper The Competitive Equilibrium Turnpike. The earlier paper asserts that the combination of the turnpike theorem for optimal growth paths and the existence theorem for competitive equilibria provides a competitive equilibrium turnpike theorem when the discount...

This paper shows that the post-Walras general equilibrium theory is irrelevant to real contemporary economic life. The main achievement of modern General Equilibrium Theory is the proof of equilibrium’s existence. It might be that the proof of the equilibrium existence is a mathematical...

I use the Prescott (1975) hotels model to explain variations in price dispersion across goods sold by supermarkets in Chicago. I extend the theory to accounts for the monopoly power of chains and for non-shoppers. The main empirical finding is that the effect of demand uncertainty on price...

Rational expectations do not require beliefs to be consistent with history and with what agents can conclude from it. Actually, at a rational expectations equilibrium agents may hold beliefs that explain poorly the history they observe, even when restricted to only those rationalizing their...

In the paper two-person nonzero-sum semi-infinite games with bounded payoffs are studied — both with countable and uncountable infinite strategy space. Under some concavity/convexity assumptions they are shown to possess ε-equilibria (equilibria) in strategies with supports consisting of at...

This survey deals with two-sided matching markets where one set of agents (workers/residents) has to be matched with another set of agents (firms/hospitals). We first give a short overview of a selection of classical results. Then, we review recent contributions to a complex and representative...

Considered here is direct exchange of production allowances or input factors. Motivated by practical modeling and compution, we suppose every owner or user of such items has a linear technology. The issue is whether competitive market equilibrium can be reached merely via iterated bilateral...