... developed and used general-equilibrium analysis. Both Marshall and Walras agreed upon the determination of equilibrium price and quantity by means of the demand and supply function intersection. They did have some conflicting views in regards to the determinants of the supply and demand function, and the technicalities of market equilibrium. Considering the orange juice example in the textbook (A History of Economic Thought and Method, chapter 15,page 383), Marshall placed a great deal of emphasis on the ceteris paribus assumptions. He assumed the demand for orange juice was determined not only by the price of orange juice, but also by the prices of its substitutes and complements, and the tastes and income of the consumers. All the other factors are assumed constant as per ceteris paribus. He did this so to isolate the market for closer assessment. In contrast, Walras was interested in the interdependencies between markets, and did ...

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