Comparative Analysis of the Course of Business Cycles and Thermodynamic Cycles
AbstractMainstream economics tends to perceive economic systems in a mechanistic way, which makes it impossible to grasp the notion of the irreversibility of real economic processes and thus encourages referring to the achievements of thermodynamics. Although economic equivalents of thermodynamic quantities have been discussed for more than a hundred years, a significant development of thermodynamic techniques of modeling economic phenomena, that could complement standard econometric methods, has not been observed. It seems that a comparative analysis of the course of thermodynamic and business cycles could enhance the understanding of the mechanisms underlying business cycles, especially in the context of mutual relations between economy and its environment. The aim of this article is to discuss some similarities and differences between economic and thermodynamic systems (heat engines and heat pumps). In particular, the problem of performing positive or negative work by an economy is considered and illustrated by the analysis of statistical data referring to the American and Polish economies.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Wydawnictwo Naukowe Uniwersytetu Mikolaja Kopernika in its journal Equilibrium. Quarterly Journal of Economics and Economic Policy.
Volume (Year): 6, Issue 1 (2011)
Issue (Month): ()
Contact details of provider:
Web page: http://www.wydawnictwoumk.pl
business cycles; thermodynamic cycles; expansion; contraction; efficiency;
Find related papers by JEL classification:
- E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Adrian Dragulescu & Victor M. Yakovenko, 2000. "Statistical mechanics of money," Papers cond-mat/0001432, arXiv.org, revised Aug 2000.
- John Bryant, 1982.
"A Thermodynamic Approach to Economics,"
te1982, Economic Consultancy, Vocat International.
- Samuelson, Paul A., 1970.
"Maximum Principles in Analytical Economics,"
Nobel Prize in Economics documents
1970-1, Nobel Prize Committee.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Miroslawa Buczynska).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.