This book investigates the role of individual expectations and psychological factors in the formation of endogenous business cycles within macroeconomic systems. Jean-Michel Grandmont, a prominent economist, utilizes rigorous mathematical modeling to challenge traditional equilibrium theories. He argues that market fluctuations can arise from the interaction of heterogeneous agents whose beliefs about the future are not necessarily rational in the classical sense. The text provides a formal framework for understanding how self-fulfilling prophecies and learning processes contribute to economic instability.

Experts recognize this work as a foundational text for understanding the intersection of behavioral economics and macroeconomic theory. Readers frequently note the high level of mathematical density and the rigorous analytical approach required to fully grasp the author's arguments.