6533b859fe1ef96bd12b8361

RESEARCH PRODUCT

Non-linearities and partial analysis

Martin CurrieIngrid Kubin

subject

Economics and EconometricsEconomicsNeoclassical economicsFinance

description

Abstract This paper argues that, where there are non-linearities, the fundamental postulate of partial analysis — the principle of the negligibility of indirect effects — may be undermined: any feedback effects, however seemingly negligible, may have profound implications.

https://doi.org/10.1016/0165-1765(94)00648-l