IDEAS home Printed from
   My bibliography  Save this article

Équilibres de sous-emploi, défauts de coordination des activités décentralisées et externalités d'échange


  • Ludovic A. Julien


General equilibrium models of coordination failures capture the rationale of decentralised private activities. Nevertheless, the modelling of decentralized transactions and their influence at the macro-level are often eluded. In this paper, we explore a search theoretic monetary model without auctioneer and with trade-frictions, in which macro-underemployment is caused by a lack of coordination in decentralized trades. The equilibrium concept is a steady state with self-fulfilling expectations concerning the trade sector. There are multiple Pareto-ranked inefficient equilibria. Externalities arise from the transaction technology and money plays a critical role in coordinating transactions. We show that the acceptability of money yields a Pareto improvement because its use in trade makes production decisions easier. Moreover, when the degree of specialisation in consumption is low, more money enhances welfare and increases production. We finally discuss the model through the literature.

Suggested Citation

  • Ludovic A. Julien, 2006. "Équilibres de sous-emploi, défauts de coordination des activités décentralisées et externalités d'échange," Recherches économiques de Louvain, De Boeck Université, vol. 72(1), pages 75-100.
  • Handle: RePEc:cai:reldbu:rel_721_0075

    Download full text from publisher

    File URL:
    Download Restriction: free

    File URL:
    Download Restriction: free

    Other versions of this item:

    More about this item


    multiple equilibria; transactions; decentralization; market participation externalities;

    JEL classification:

    • D40 - Microeconomics - - Market Structure, Pricing, and Design - - - General
    • E10 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - General
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cai:reldbu:rel_721_0075. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jean-Baptiste de Vathaire). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.