Article contents
Memory, market stability and the nonlinear cobweb theorem
Published online by Cambridge University Press: 17 February 2009
Abstract
Carlson has shown that if the predicted price in the linear cobweb model is taken as the average of all previous actual prices, then stability results independently of parameter values provided only that the demand–curve gradient is less than that of the supply curve. This result has subsequently been generalised by Manning and by Holmes and Manning. We investigate the robustness of their results.
- Type
- Research Article
- Information
- Copyright
- Copyright © Australian Mathematical Society 2004
References
- 4
- Cited by