Properties of Equilibrium
Three basic properties of equilibrium in general have been proposed by Huw Dixon, These are:
Equilibrium property P1: The behaviour of agents is consistent.
Equilibrium property P2: No agent has an incentive to change its behaviour.
Equilibrium Property P3: Equilibrium is the outcome of some dynamic process (stability).
Read more about this topic: Economic Equilibrium
Famous quotes containing the words properties of, properties and/or equilibrium:
“A drop of water has the properties of the sea, but cannot exhibit a storm. There is beauty of a concert, as well as of a flute; strength of a host, as well as of a hero.”
—Ralph Waldo Emerson (1803–1882)
“The reason why men enter into society, is the preservation of their property; and the end why they choose and authorize a legislative, is, that there may be laws made, and rules set, as guards and fences to the properties of all the members of the society: to limit the power, and moderate the dominion, of every part and member of the society.”
—John Locke (1632–1704)
“When a person hasn’t in him that which is higher and stronger than all external influences, it is enough for him to catch a good cold in order to lose his equilibrium and begin to see an owl in every bird, to hear a dog’s bark in every sound.”
—Anton Pavlovich Chekhov (1860–1904)