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Introduction

  • Kazuo Mino
Chapter
Part of the Advances in Japanese Business and Economics book series (AJBE, volume 13)

Abstract

This chapter reviews the issue of equilibrium indeterminacy in macroeconomics. Instead of providing a broad literature survey, we consider two simple examples. One is a univariable rational expectations model of asset price determination. The other is a general equilibrium model of monetary economy. When discussing both examples, we classify the models into three categories: the steady state of the model economy is (i) unique, (ii) multiple, and (iii) a continuum. The majority of foregoing studies have treated models with a unique steady state. However, there are some interesting situations in which multiple steady state equilibria exist or the steady state of the economy constitutes a continuum.

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Copyright information

© Springer Japan KK 2017

Authors and Affiliations

  • Kazuo Mino
    • 1
  1. 1.Kyoto University Institute of Economic ResearchKyotoJapan

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