No subject

[Sampo A Syreeni]

> On a similar vein, just about every somehow understandable version of free
> market theory is based on the assumption of a steady state market. The
> theory does not include a temporal element. If you want to study those,
> you're bound for such a quagmire of stochastic nonlinear differential
> equations that you would not believe. Hence, the global stability of any
> reasonably realistic model of markets is practically impossible to
> guarantee with current mathematical tools. It is quite possible for such
> systems to behave badly enough to kill most of the participants in the
> market, for instance. Besides, the basic continuity assumptions behind
> mathematical economics practically guarantee that the theory does not take
> such possibilities seriously - I know of no models which take into account
> the discrete, limited number of people participating in the market.

All fine and dandy, except it's completely useless. I am an Austrian - the
Austrians are dead set against "steady set markets", and dead set against
equations in economics. You don't need fancy equations for anything in
economics - look on www.mises.org

Mark