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One Suggestion for Microfoundation of Non-Walrasian Disequilibrium Macroeconomics: Matching Theory with Dual Decision

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  • Ogawa, Shogo

Abstract

In this study, we present a canonical static disequilibrium model which is micro-founded. The model includes standard optimization, stochastic quantity rationing, and market friction. In temporary equilibrium, every agent makes a decision under perceived quantity signals of all markets. This specifies market spill-over effect which could be interpreted as dual-decision effect. In temporary equilibrium, market friction mixes classical and Keynesian mechanism for unemployment so that the non-Walrasian regime dividing becomes obscure.

Suggested Citation

  • Ogawa, Shogo, 2021. "One Suggestion for Microfoundation of Non-Walrasian Disequilibrium Macroeconomics: Matching Theory with Dual Decision," MPRA Paper 106636, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:106636
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    References listed on IDEAS

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    Cited by:

    1. Ogawa, Shogo, 2022. "Survey of non-Walrasian disequilibrium economic theory," MPRA Paper 115011, University Library of Munich, Germany.

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    More about this item

    Keywords

    Non-Walrasian economics; Disequilibrium macroeconomics; Market friction;
    All these keywords.

    JEL classification:

    • D59 - Microeconomics - - General Equilibrium and Disequilibrium - - - Other
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity

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