partial equilibrium analysis

the analysis of relationships within a particular subsector of an economy (for example, an individual market) that proceeds on the basis that events in this sector have such an insignificant impact on other sectors that feedback effects will be negligible or nonexistent. For example, an increase in the price of carrots is unlikely to have much effect on the general price level, so any possible feedback effects can be safely ignored for purpose of analysing the market for carrots. Thus, in partial equilibrium analysis each subsector is treated as a self-contained entity. See GENERAL EQUILIBRIUM ANALYSIS.

单词	partial equilibrium analysis
释义	partial equilibrium analysis partial equilibrium analysis the analysis of relationships within a particular subsector of an economy (for example, an individual market) that proceeds on the basis that events in this sector have such an insignificant impact on other sectors that feedback effects will be negligible or nonexistent. For example, an increase in the price of carrots is unlikely to have much effect on the general price level, so any possible feedback effects can be safely ignored for purpose of analysing the market for carrots. Thus, in partial equilibrium analysis each subsector is treated as a self-contained entity. See GENERAL EQUILIBRIUM ANALYSIS.
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