Schinkel, Maarten-Pieter; Tuinstra, Jan; Vermeulen, Dries - Departamento de Economía Aplicada III (Econometría y … - 2000
A central unanswered question in economic theory is that of price formation in disequilibrium. This paper lays down the methodological groundwork for a model that has been suggested as an answer to this question (Arrow, 1959; Fisher, 1983; Hahn, 1989). We consider sellers that monopolistically compete...