ABSTRACT
The Walrasian approach in the neoclassical theory aims to explain a general and stable equilibrium over time which is determined by the maximizing behaviour of agents in the marketplace. This paper intends to highlight the main logical shortcomings inherent to the General Equilibrium TheoryWEINTRAUB, E.R. (1974) General Equilibrium Theory. London, Macmillan., which have important implications at the research level. In this context, the main issues become: i) at the level of assumptions, the issue of stability introduces a fundamental indetermination in the model; ii) the well-known market imperfections in the real world contribute to the impossibility of setting general principles. The search to address the issues through a more realistic approach generates new indeterminations and makes it even more difficult to attain the Pareto Optimum. In order to better understand the logical and methodological impossibilities of this theory, the article suggests referring the research program to the rational constructivist philosophy of modem times.
KEYWORDS:
Economic methodology; history of economic thought; general equilibrium