ABSTRACT
Finally we have the disequilibrium method which analyses single periods out of equilibrium and which signifies that the ex ante plans are not consistent but the ex post values are equal. This method implies two different versions of continuation theory, namely, equilibrium and disequilibrium sequence analysis. However, the equilibrium sequence analysis, although it starts out from a single-period analysis which allows for disequilibrium, as a continuation theory it assumes that each period is in equilibrium. Hence, this version is basically the same as intertemporal equilibrium (cp. sect. IX:4:5) . 16 In the disequilibrium sequence analysis the process is represented by an array of single periods which are not in equilibrium, but there are constant rules of conduct which determine how the ex post results from one period influence the ex ante plans for the subsequent period (cp. sect. X:2). These rules represent the equilibrium notion within disequilibrium sequence analysis. But it is only a question of the maintenance of equilibrium for a short period of time, since the rules can not be assumed to stay constant for more than a few periods.
