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Plausibility of Indeterminacy and Complex Dynamics

Bosi, Stefano
•
Cazzavillan, Guido
•
Magris, Francesco
2005
  • journal article

Periodico
ANNALES D'ECONOMIE ET DE STATISTIQUE
Abstract
We study a pure exchange economy with infinite-lived agents, in which a share of consumption purchases must be paid cash. The economy may exhibit multiple equilibria, no matter what the fundamental specification, the only requirement being a share of consumption to be paid cash sufficiently low. Complex dynamics, such as chaos and cycles of any periodicity, can emerge under gross substitutability, a condition usually known for eliminating such phenomena.
Archivio
http://hdl.handle.net/11368/2967352
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5
Data di acquisizione
Apr 19, 2024
Vedi dettagli
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