Schumpeter explicitly credits the equilibrium-based Walrasian system as a scientific foundation for economics.
I show, much like Fisher did in the appendix to his 1907 book on the rate of interest, that it can be reduced to a timeless Walrasian model.
He does not view modern finance as being Walrasian, that is, a theory of mutual determination of markets, real and financial.
According to Montes, Smith was not a proponent of a mathematical-deductive method and he was certainly not a proponent of an embryonic form of Walrasian general equilibrium theory.
In the Walrasian perspective, prices adjust and productive capacity is used at the optimal level under the prevailing price conditions (optimising without a demand constraint).
Definition of Walrasian in US English:
Walrasian
adjective
Economics
See Walras' law
Example sentencesExamples
According to Montes, Smith was not a proponent of a mathematical-deductive method and he was certainly not a proponent of an embryonic form of Walrasian general equilibrium theory.
I show, much like Fisher did in the appendix to his 1907 book on the rate of interest, that it can be reduced to a timeless Walrasian model.
In the Walrasian perspective, prices adjust and productive capacity is used at the optimal level under the prevailing price conditions (optimising without a demand constraint).
Schumpeter explicitly credits the equilibrium-based Walrasian system as a scientific foundation for economics.
He does not view modern finance as being Walrasian, that is, a theory of mutual determination of markets, real and financial.