Exchange

Abstract

One of the most important inquiries of economic theory has been directed to answering the question: ‘Why does the pursuit of individual self-interest lead to a society not characterized by chaos?’ [32, 14]. The general equilibrium problem, the very heart of economic theory, assumes that consumers and producers each act in individually selfish ways, but somehow an equilibrium can be established in which prices allocate scarce resources and goods to those individuals who value them most.