Statistical dynamics and Walras' law

Abstract

Much interest has been shown on identifying the chaotic behavior generated from tâtonnement process recently. The aim of this article is to direct the research in exploring its statistical dynamical properties. Two typical types of ergodic tâtonnement processes - restricted tâtonnement and unrestricted tâtonnement - have been studied. Their long-run statistical characteristics such as time average of price, excess demand and inflation rate are discussed in theory and by computer simulations. © 2001 Elsevier Science B.V.