A Mathematical Model about Neo-Classical Economy

Abstract

We live in the era of market economy. Market and government intervention is tapering gradually. Classical planned economy has no longer adapted to the society instead of the private market in the neo-classical economic model. This paper use uses mathematics as a powerful tool, with specific examples of mathematical deduction, at the same time with graphic example, we have study the neo-classical economic model, solved the neatly and a non-equilibrium market evolve toward equilibrium.