Unique equilibrium in a dynamic model of crises with frictions
Guimaraes, B.
(2005).
Unique equilibrium in a dynamic model of crises with frictions.
London School of Economics and Political Science. Centre for Economic Performance.
This paper studies a dynamic model of crises with timing frictions that combines the main aspects of Morris and Shin (1998) and Frankel and Pauzner (2000). The usual arguments for existence and uniqueness of equilibrium cannot be applied. It is shown that the model has a unique equilibrium within the class of threshold equilibria.
| Item Type | Working paper |
|---|---|
| Copyright holders | © 2005 the author |
| Departments |
LSE > Research Centres > Centre for Economic Performance LSE > Academic Departments > Economics |
| Date Deposited | 19 May 2008 |
| URI | https://researchonline.lse.ac.uk/id/eprint/4907 |
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