Chapter 1 Properties of Disequilibrium Adjustment in Double Auction Markets The tendency of double auction markets to converge to the equilibrium of the associated competitive equilibrium model is well known but the equilibration process is not understood. The reason for adjustment and the processes that are actively involved with the adjustment process are still a mystery. However the study of many markets reported over the years by many different research groups have provided some properties of disequilibria and the dynamics of the adjustment process. Double auction markets have properties that are closely associated with certain institutional and environmental features and have been studied extensively. First there is a period structure to the markets: an open and a close. Second major changes such as parameter changes occur between the close of one period and the open of the next and this fact is public information. That is parameter changes do not occur during a period. Third the commodity traded is like a service that does not have a life of over one period. Redemption values and costs are active for only one period at a time. If the commodity does have a time lifelike a securityit will systematically change its value between periods such as a dividend that is paid at the end of a period. This chapter does not specifically explores the dynamics of adjustment that occur in other market structures the properties listed in the chapter are characteristic of the asset markets that have been studied: speculative markets and economies characterized by overlapping generations.