• A Walrasian market is a market where orders are grouped and analyzed to determine a clearing price that will determine the market price.

  • The Walrasian market was developed by Léon Walras to demonstrate that there can be a state of general equilibrium in which there is equal demand and supply in all markets at the same time.
  • Buyers and sellers have little to say about the final prices of their transactions in the Walrasian market, unlike auction markets where market forces are at work.
  • In the Walrasian market, buy and sell orders are grouped together and then executed at a specific time, rather than sequentially one after the other.
  • The NYSE uses a process similar to the Walrasian market before calling to open to determine opening prices.