ABSTRACT

Paul Samuelson’s Correspondence Principle (henceforth CP) first appeared in a pair of wartime articles; see Samuelson (1941: 97-120 and 1942: 1-25). The CP asserts that economic dynamics and comparative statics stand in a two-way relationship of mutual support and dependence. In particular, the precision of comparative statics may be enhanced by imposing the assumption of dynamic stability.