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The Marshallian Market and the Walrasian Economy. Two Incompatible Bedfellows

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De Vroey, Michel

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Abstract

The aim of this paper is to question a view, which is usually taken for granted, namely that the Marshallian partial equilibrium and Walrasian general equilibrium analysis stand in a relationship of continuity. It will be claimed that the contrary is true: the generalisation of the Marshallian market does not lead to a Walrasian economy or, conversely, the Walrasian economy is not composed of Marshallian markets. The issue of why no full-fledged Marshallian representation of the economy has arisen which will be investigated. Finally, it will be claimed that if the Marshallian economy concept has no explicit existence, it has nonetheless an implicit one. Copyright 1999 by Scottish Economic Society.

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Article provided by Scottish Economic Society in its journal Scottish Journal of Political Economy.

Volume (Year): 46 (1999)
Issue (Month): 3 (August)
Pages: 319-38
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Handle: RePEc:bla:scotjp:v:46:y:1999:i:3:p:319-38

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  1. Michel De Vroey, 2002. "The history of economic thought: the French way," European Journal of the History of Economic Thought, Taylor and Francis Journals, vol. 9(4), pages 672-687, December. [Downloadable!] (restricted)
  2. Michel De Vroey, 2006. "The temporary equilibrium method: Hicks against Hicks," European Journal of the History of Economic Thought, Taylor and Francis Journals, vol. 13(2), pages 259-278, June. [Downloadable!] (restricted)
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  3. Heinz-Peter Spahn, 2003. "Money as a Social Bookkeeping Device: From Mercantilism to General Equilibrium Theory," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 227/2003, Department of Economics, University of Hohenheim, Germany. [Downloadable!]
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