Economic Theory

Economic Crisis and Economic Theory

Two dynamic general equilibrium economies compete in explaining the United States’interwar business cycles. Despite the demand driven contender’s slight advantages, the results remain too close to call a clear winner.

Emotions in Economic Theory and Economic Behavior

Forthcoming in Economic Theory

This note provides two necessary and sufficient conditions for the relative interior of the core (and the base polyhedron) to be non-empty: (i) the second largest excess of the prenucleolus is negative; (ii) the grand coalition's payoff is greater than the minimum no-blocking payoff. Such conditions imply an intuitive method in proving core existence, they also imply results on the sensitivity ...

Technology and Economic Theory

Theory in Economic Anthropology

For many of the contributors to this volume, theory is a method for describing preindustrial societies, rather than a set of testable propositions derived from a model. Nevertheless, a number of the essays on different societies may be of interest to comparative economists. Joseph Henrich presents a sophisticated argument against the use of cost/ benefit analysis to explain peasant agricultural...