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Staff Paper No. 393 - Abstract

On Market Equilibrium Analysis

Jean-Paul Chavas [jpchavas@wisc.edu]
Thomas L. Cox [tlcox@wisc.edu]

Staff Paper No. 393, March 1996, 34p.

Abstract

The paper develops the implications of competitive market equilibrium for production and household behavior when some prices are endogenously determined. The properties of market equilibrium functions are explored, including the effects of pricing policy. A Slutsky-type equation relating compensated and uncompensated market equilibrium functions is derived. Implications for multi-market welfare analysis are presented, focusing on the effects of pricing policy and technical change.
Last updated on Thu, Jun 2, 2005 11:41am