Business & Economics Books:

Newtonian Microeconomics

A Dynamic Extension to Neoclassical Micro Theory
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Hardback
$421.00
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Description

Presenting the dynamic laws of economic quantities, this book tackles one of the core difficulties of current economic theory: that of transforming abstract equations of equilibrium into precise dynamic rules. The theoretical framework of neoclassical micro theory has historically prohibited its development into a quantitative science. Estola identifies the main weaknesses of this framework as follows: 1) Static optimization does not allow for the modelling of time-dependent production and consumption flows; 2) The assumption of optimal behaviours forecloses any understanding of changes in economic quantities, as none will change its optimal behaviour. The author of this title assumes that economic units tend to better their situation where possible. The book demonstrates how this approach leads to an analogous framework in economics to the Newtonian framework in physics. The ‘forces’ acting upon economic quantities, which either cause adjustment toward an equilibrium state or keep the system in motion with time, are defined such that the neoclassical framework corresponds to a ‘zero-force’ situation. Introducing a system of measurement units for economic phenomena, Estola applies this throughout, and thereby illuminates a way for microeconomics to meet the minimum requirements of quantitative analysis.

Author Biography:

Matti Estola is Senior Lecturer in Economics at the University of Eastern Finland. His research specialises in methodology, quantitative methods and econophysics. Estola has lectured in microeconomics at elementary, intermediate and advanced levels for over 20 years, and has published numerous articles on economic dynamics.
Release date NZ
February 1st, 2017
Author
Audience
  • Professional & Vocational
Edition
1st ed. 2017
Illustrations
52 Illustrations, color; 45 Illustrations, black and white; XVIII, 464 p. 97 illus., 52 illus. in color.
Pages
464
Dimensions
148x210x31
ISBN-13
9783319468785
Product ID
25849930

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