Monday, April 13, 2020

It is the uncertainty of equilibrium we all know

The Equilibrium of Each Is the Result of the Equilibrium of All, or, the Rational Expectation of Each is the Result of the Rational Expectation of All

Everyone knows approximately the right path forward, but one's error at equilibrium is about the same relatively as another's error. We have a minimal uncertainty because goods travel slowly and erratically. When this condition is not met then the economy cycles.

We can sometime compute the equilibrium under the assumption that the curent state is stable, it is not, but may have bound volatility.

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