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What Migeru has demonstrated is continuous net postive feedback drives the system into instability and then into a new equilibrium, true of any system: the economy, a transistor, telephone lines ... whatever.

This conclusion has been vigouriously resisted by people intellectually wedded to statistical analytical methodologies and techniques.  Several reasons for this but, in my view, the most important being it eliminates the ability to pontificate all over the place.

by ATinNM on Thu Nov 17th, 2005 at 11:43:06 AM EST
I think the point is that the way the economy progresses (the way the PPF expands) is through catastrophes of this sort. A well-greased economy has lots of little catastrophes. A rigid one has a few huge ones.

guaranteed to evoke a violent reaction from police is to challenge their right to "define the situation." --- David Graeber citing Marc Cooper
by Migeru (migeru at eurotrib dot com) on Thu Nov 17th, 2005 at 12:05:47 PM EST
[ Parent ]
Yup.  You can either have little Catastrophes or a great big whumping Catastrophe that is a "Catastrophe."  

I think, but cannot prove, one could use Catastrophe Theory as a qualitative tool for to describe Chaotic bifurcation to a different wing of a Lorenz Butterfly, say.  To actually show this would reguire more math than I care to handle.  :-)

by ATinNM on Thu Nov 17th, 2005 at 01:05:40 PM EST
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