Out-of-Equilibrium Dynamics and Excess Volatility in Firm Networks

1 code implementation • 9 Dec 2020 • Théo Dessertaine, José Moran, Michael Benzaquen, Jean-Philippe Bouchaud

We show that the time needed to reach equilibrium diverges to infinity as the system approaches an instability point beyond which the Hawkins-Simons condition is violated and competitive equilibrium is no longer admissible.

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