|
|
Nash equilibrium |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
Nash equilibriumAn equilibrium in game theory in which each player's action is optimal given the actions of the other players. E.g., in a tariff-and-retaliation game, with each country able to improve its terms of trade with a tariff, zero tariffs are not Nash, since each can do better by raising its tariff. A Nash equilibrium, with positive tariffs, is likely to be inferior to free trade for both.Similar MatchesMulti-cone equilibriumMulti-cone equilibriumA free-trade equilibrium in the Heckscher-Ohlin Model in which prices are such that all goods cannot be produced within a single country, and instead there are multiple diversification cones. This, or a two cone equilibrium, will arise if countries' factor endowments are sufficiently dissimilar compared to factor intensities of industries. Contrasts with one cone equilibrium. Market equilibriumMarket equilibriumEquality of supply and demand. See equilibrium. Two cone equilibriumTwo cone equilibriumA free-trade equilibrium in the Heckscher-Ohlin Model in which prices are such that all goods cannot be produced within a single country, and instead there are two diversification cones. This, or a multi-cone equilibrium, will arise if countries' factor endowments are sufficiently dissimilar compared to factor intensities of industries. Contrasts with one cone equilibrium. Equilibrium levelEquilibrium levelThe value taken on by an economic variable in equilibrium, as opposed either to some other value, or to its rate of change. DisequilibriumDisequilibrium1. Inequality of supply and demand. 2. A untenable state of an economic system, from which it may be expected to change. Further SuggestionsEquilibrium priceOne cone equilibrium Computable general equilibrium General equilibrium Equilibrium rate of interest Equilibrium exchange rate Equilibrium position Partial equilibrium Equilibrium Balance of payments equilibrium Equilibrium |
|
|
|