Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/27473 
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dc.contributor.authorAoki, Masanaoen
dc.contributor.authorYoshikawa, Hiroshien
dc.date.accessioned2009-08-12T07:14:51Z-
dc.date.available2009-08-12T07:14:51Z-
dc.date.issued2008-
dc.identifier.urihttp://hdl.handle.net/10419/27473-
dc.description.abstractThe standard Walrasian equilibrium theory requires that the marginal value product of production factor such as labor is equal across firms and industries. However, productivity dispersion is widely observed in the real economy. Search theory allegedly fills this gap by encompassing apparent disequilibrium phenomena in the neoclassical equilibrium framework. Taking up Lucas and Prescott (1974) as a primary example, we show that the neoclassical search theory cannot explain the observed pattern of productivity dispersion. Non-self-averaging, a concept little known to economists, plays the major role. Empirical observation suggests strongly the presence of disturbing forces which dominate equilibrating forces due to optimizing behavior of economic agents. We must seek a new concept of equilibrium different from the standard Walrasian equilibrium in macroeconomics.en
dc.language.isoengen
dc.publisher|aKiel Institute for the World Economy (IfW) |cKielen
dc.relation.ispartofseries|aEconomics Discussion Papers |x2008-37en
dc.subject.jelJ64en
dc.subject.jelE50en
dc.subject.jelD50en
dc.subject.ddc330en
dc.subject.keywordEquilibriumen
dc.subject.keywordsearch theoryen
dc.subject.keywordproductivity dispersionen
dc.subject.keywordpower-lawen
dc.subject.keywordnon-self-averagingen
dc.subject.stwMakroökonomiken
dc.subject.stwAllgemeines Gleichgewichten
dc.subject.stwSuchtheorieen
dc.subject.stwKritiken
dc.subject.stwTheorieen
dc.titleThe Nature of Equilibrium in Macroeconomics: A Critique of Equilibrium Search Theory-
dc.typeWorking Paperen
dc.identifier.ppn587934700en
dc.rights.licensehttp://creativecommons.org/licenses/by-nc/2.0/de/deed.enen
dc.identifier.repecRePEc:zbw:ifwedp:7454en

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