Reply To: Measuring Economic Equilibrium


Going further off the deep end, I just wanted to speak further about where my line of questions come from. I am an Electrical Engineer, and we all need to realize that things in the world are seen through our own lens…..and to me, the economy can be viewed like a very complex electronic circuit. (and one that we did not design and that we use and so need to better understand through analysis)

I think the weather is another such system that we humans clearly have many models of, that look at many inputs (wind speed, pressures, temperatures, etc…) and attempt to predict weather. We can see that our abilities to predict weather are ever increasing, but far from complete…..and I think the global weather system is far less complex than the global economic system. Why you ask….well, I think the weather is let’s say three or four dimensional, and the economy more because of the more individual nature of humans. (but trust me, I know not enough of either to even make that more than just a WAG)

So like the electronic circuit, I wonder if people (deep thinkers with heavy computer power) are working to try and understand economic stability. In circuit design, you attempt to characterize all the “poles and zeros” in the systems in order to try and understand system stability and transfer response.

I am thinking an economic system can be analyzed similarly, and so we would at least more easily understand the sort of things that would be “shocks to the system” (Step function input changes…eg: military/trade war or sudden exploratory finds) and how they might play out.

My general theory is that our world exists as a multidimensional Fractal.

I need to learn more about this myself…..but are there any economists who think of their field this way?