This paper surveys some recent studies of economies where trading takes place sequentially over time, and where each agent makes decisions at every date in the light of his expectations about his future environment, which are functions of his information on the present and past states of the economy. The paper reviews particularly the issues raised by arbitrage in capital markets, by the consideration of money and banking activities, and by the introduction of production in temporary competitive equilibrium models. A thorough investigation of the logic of temporary equilibrium models with quantity rationing is also offered, as well as a quick review of the study of stochastic processes of temporary equilibria.

This paper develops an example in which persistent deterministic business cycles appear in a purely endogenous fashion under fal.,).,~e~ oaÂ.Jte.These cycles are not attributable to exogenous 11 shocks 11 nor toThis procedure defines a function W that takes the interior of JR! into ~ itself, and it is clear that the equation qt = W(qt_ 1 ) describes the same dynamics as (2.4) through the relation qt-l = (pt-1' ... ,pt-T) for all t .1 We may in particular state for later reference LEMMA 2.2.AMu.me.(1.a),(1.c.) and (2,6).Let (pt) be. a pwocüc.1.ie.que.nc.e.06 pOJ.ii- tive.ptiic.uwilh pwod k and fe.t (pi,,.,p;)be.i:t6 onbil.Let UJ.i de.0 ine.

Journal Article On the Efficiency of a Monetary Equilibrium Get access Jean-Michel Grandmont, Jean-Michel Grandmont CEPREMAP, Paris Search for other works by this author on: Oxford Academic Google Scholar Yves Younes Yves Younes CEPREMAP, Paris Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 40, Issue 2, April 1973, Pages 149–165, https://doi.org/10.2307/2296645 Published: 01 April 1973

Jean-Michel Grandmont, Yves Younes; On the Role of Money and the Existence of a Monetary Equilibrium12, The Review of Economic Studies, Volume 39, Issue 3,

Jean-Michel Grandmont, Guy Laroque; On Money and Banking12, The Review of Economic Studies, Volume 42, Issue 2, 1 April 1975, Pages 207–236, https://doi.or

If the liquidity trap is viewed as a property of the aggregate demand for money (or liquid assets), it can be generated from the agents' microeconomic behavior only in special cases, even in the presence of the Keynesian assumption of inelastic expectations. On the other hand, in an economy where a central bank intervenes by open market operations, short run equilibrium interest rates on long term bonds tending to zero are associated with short run equilibrium money stocks which tend to infinity, once the Keynesian assumption of inelastic expectations is made.