Market Equilibrium

Market equilibrium, a fundamental concept in economics, aims to identify the point where supply and demand balance, resulting in stable prices and allocations. Current research focuses on computationally efficient methods for determining equilibrium, particularly in large-scale markets with diverse agents and incomplete information, employing techniques like deep learning (e.g., neural networks) and reinforcement learning to model agent behavior and approximate solutions. These advancements are significant for improving our understanding of market dynamics, informing the design of efficient resource allocation mechanisms, and enhancing the accuracy of financial models.