Global Analysis in Economic Theory
Global analysis in economics puts the main results of classical equilibrium theory into a global calculus context. The advantages of this approach are: (a) the proofs of existence of equilibrium are simpler (the main tool is the calculus of several variables); (b) comparative statics is integrated into the model in a natural way; (c) the calculus approach is closer to the older traditions of the subject; and (d) as far as possible the proofs of equilibrium are constructive.
KeywordsArrow–Debreu theory Calculus of variations Comparative statics Existence of equilibrium Global analysis in economic theory Inverse function th Proofs of equilibrium Sard’s th Walras’s Law
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