RT Journal Article
T1 Richard Cantillon’s stabilizing market dynamics
A1 Berdell, John
A1 Menudo Pachón, José Manuel
K1 Cantillon
K1 Price determination
K1 Classical macroeconomics
K1 General equilibrium stability
AB We consider a dynamic input output model that represents important aspects of Richard Cantillon’s discussion of economic structure and market dynamics. Merchants and inventories determine prices that diverge from (longer run) equilibrium. We contrast this stable formulation of price determination with an unstable benchmark specification in which variations in mercantile inventories play no role. Appreciated the stabilising properties of classical dynamics but did not isolate the influence of inventory behaviour. We briefly consider the role of inventories in macroeconomics, and note that balance sheet effects have rendered credit dislocations considerably more persistent than they were in Cantillon’s day.
PB Taylor & Francis
YR 2020
FD 2020
LK https://hdl.handle.net/10433/24838
UL https://hdl.handle.net/10433/24838
LA en
NO Berdell, J., & Menudo, J. M. (2020). Richard Cantillon’s stabilizing market dynamics. The European Journal of the History of Economic Thought, 27(4), 476-499.
NO Departamento de Económía, Métodos Cuantativos e Historia Económica
DS RIO
RD May 6, 2026