Eminyan K.M. Optimality and equilibrium of economic events as a unity of contradictions

Authors

  • admin admin

Keywords:

economic equilibrium, optimality, good, marginal utility, rational behaviour, budget constraint

Abstract

Economic equilibrium and optimality, are two states of the economic system, which can be simultaneously consistent and contradictory to each other, causing discussions about the similarity and contradictory nature of the states of the economic system. The object of the study is the economic system. The subject of the study is the state of the economic system. The purpose of the study is to formally describe the optimality and equilibrium of economic events from the position of consistency and contradiction of states. This article considers the contribution of Leon Walras, Vilfredo Pareto and Francis Edgeworth to the theory of optimality and economic equilibrium, examining the contributions of prominent economists, key concepts and terminology used in these models. The impact of these theories on market efficiency and social welfare is considered, and a formal description of the models and states is presented. It is concluded that optimality as a state of the economic system is not at the same time an equilibrium state of the economic system, and the concept of economic equilibrium is a theoretical abstract construction, which most likely is never achieved in its formal form completely in the real economy due to the dynamism and uncertainty of external conditions determined by supply and demand.

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Published

2024-04-25

How to Cite

admin, admin. (2024). Eminyan K.M. Optimality and equilibrium of economic events as a unity of contradictions. DISCUSSION | Journal of Scientific Publications on Economic ISSN 2077-7639, 123(2), 6–12. Retrieved from https://discussionj.ru/index.php/polemik/article/view/164

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Section

Mathematical, statistical and instrumental methods in economics(economic scienc)

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