Update
Show Summary Details

Page of

PRINTED FROM OXFORD REFERENCE (www.oxfordreference.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. Under the terms of the licence agreement, an individual user may print out a PDF of a single entry from a reference work in OR for personal use (for details see Privacy Policy and Legal Notice).

date: 03 December 2021

equilibrium 

Source:
A Dictionary of Economics
Author(s):

Nigar Hashimzade,

Gareth Myles,

John Black

An equilibrium can be defined either as a position of balance in the economy or, equivalently, as a situation in which no agent in the economy has any incentive to modify their chosen strategy. The first definition is derived from the perspective of equilibrium occurring when the forces of supply are balanced by the forces of demand. The second definition derives from the theory of games and is illustrated by the equilibrium of an oligopolistic market in which all firms are satisfied with their choice of output level given the choices of their rivals. Proving the ... ...

Access to the complete content on Oxford Reference requires a subscription or purchase. Public users are able to search the site and view the abstracts and keywords for each book and chapter without a subscription.

Please subscribe or login to access full text content.

If you have purchased a print title that contains an access token, please see the token for information about how to register your code.

For questions on access or troubleshooting, please check our FAQs, and if you can''t find the answer there, please contact us.