Is Dynamic Stability of Walrasian Equilibrium Achieved through Falling Target Utilities?

It is known that, if disequilibrium trade occurs according to the assumptions of the Hahn Process, Walrasian stability is achieved by means of falling target utilities. This paper shows, by means of an example in a pure exchange economy, that the assumptions of the Hahn Process are not necessarily mutually consistent. Copyright 1989 by Economics Department of the University of Pennsylvania and the Osaka University Institute of Social and Economic Research Association.