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Partial equilibrium |
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Partial equilibriumEquality of supply and demand in only a subset of an economy's markets -- usually just one -- taking variables from other markets as given. Partial equilibrium models are appropriate for products that constitute only a negligibly small part of the economy. They are used routinely (not always appropriately) for analysis of trade policies in single industries. Contrasts with general equilibrium.Similar MatchesNash equilibriumNash 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. Equilibrium exchange rateEquilibrium exchange rateExchange rate at which demand for a currency is equal to the supply of the currency in the economy. Equilibrium priceEquilibrium priceThe price when the supply of goods matches demand. Computable general equilibriumComputable general equilibriumRefers to economic models of microeconomic behavior in multiple markets of one or more economies, solved computationally for equilibrium values or changes due to specified policies. The equations are anchored with data from the countries being modeled, while behavioral parameters are either assumed or adapted from estimates elsewhere. EquilibriumEquilibriumThe stable state of the system. See: Attractor. Further SuggestionsOne cone equilibriumTwo cone equilibrium Multi-cone equilibrium Disequilibrium Market equilibrium Equilibrium Equilibrium rate of interest Equilibrium level General equilibrium Equilibrium position Balance of payments equilibrium |
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