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Economics Beyond the Millennium$
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Alan P. Kirman and Louis-André Gérard-Varet

Print publication date: 1999

Print ISBN-13: 9780198292111

Published to Oxford Scholarship Online: November 2003

DOI: 10.1093/0198292112.001.0001

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Introduction to Part I

Introduction to Part I

(p.3) Introduction to Part I
Economics Beyond the Millennium

Alan Kirman

Louis‐André Gérard‐Varet

Oxford University Press

The author suggests that the problem of aggregation in economics has been treated in too extreme a way. Economists want to deal with all individuals as in the General Equilibrium approach, or to model a representative agent, or to deal with the relation between aggregate variables. Philippe Michel argues in favour of a partial disaggregation into several categories of representative agents. He suggests that this would be a more fruitful approach to macroeconomics.

Keywords:   aggregation, individual rationality, macroeconomic theory, representative agent

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