Portier, FranckPuch González, Luis Antonio2023-06-202023-06-202005https://hdl.handle.net/20.500.14352/56634Lucas [1987] has shown that in a representative agent framework, the potential welfare gain from stabilizing consumption around its mean is small. We provide an example and some insight for why Lucas’ measure is an upper bound of the welfare cost of fluctuations in walrasian economies.engtechnical reporthttps://www.ucm.es/icaeopen accessE32C63C68Cost of Business CyclesDynamic General EquilibriumEconometría (Economía)5302 Econometría