Some epistemological implications of economic complexity
AbstractI review some epistemological implications of economic complexity, with an emphasis on Turing computability and algorithmic information theory. I examine an argument from F.A. Hayek's theory of complex phenomena in this context and discuss the apparent implication that economic complexity prevents us from eliminating literary methods from economic science. If literary methods are a necessary part of economic science, then the highest level of mathematical rigor may not ensure high quality analysis if the literary methods we use are not equally rigorous. Hayek seems to point to a literary tradition in social science that may have established informative standards of rigor for the literary parts of economic science.
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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Journal of Economic Behavior & Organization.
Volume (Year): 76 (2010)
Issue (Month): 3 (December)
Contact details of provider:
Web page: http://www.elsevier.com/locate/jebo
Complexity Epistemology Algorithmic information theory F.A. Hayek Mind-reading Folk psychology;
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.:
- Brock, W.A., 1995.
"A Rational Route to Randomness,"
9530, Wisconsin Madison - Social Systems.
- Nicolaas J. Vriend, 2002.
"Was Hayek an Ace?,"
Southern Economic Journal,
Southern Economic Association, vol. 68(4), pages 811-840, April.
- Arthur, W Brian, 1994. "Inductive Reasoning and Bounded Rationality," American Economic Review, American Economic Association, vol. 84(2), pages 406-11, May.
- Robert Axtell, 2005.
"The Complexity of Exchange,"
Royal Economic Society, vol. 115(504), pages F193-F210, 06.
- J. Barkley Rosser, Jr., 2001. "Alternative Keynesian and Post Keynesian Perspectives on Uncertainty and Expectations," Journal of Post Keynesian Economics, M.E. Sharpe, Inc., vol. 23(4), pages 545-566, July.
- Sheri M. Markose, 2004.
"Computability and Evolutionary Complexity: Markets As Complex Adaptive Systems (CAS),"
Economics Discussion Papers
574, University of Essex, Department of Economics.
- Sheri M. Markose, 2005. "Computability and Evolutionary Complexity: Markets as Complex Adaptive Systems (CAS)," Economic Journal, Royal Economic Society, vol. 115(504), pages F159-F192, 06.
- Roger Koppl & Barkley Rosser, 2002. "All that I have to say will already have crossed your mind," Computing in Economics and Finance 2002 185, Society for Computational Economics.
- Roger E. A. Farmer, 2011.
"Confidence Crashes and Animal Spirits,"
2011 Meeting Papers
603, Society for Economic Dynamics.
- David Prychitko, 2010. "Competing explanations of the Minsky moment: The financial instability hypothesis in light of Austrian theory," The Review of Austrian Economics, Springer, vol. 23(3), pages 199-221, September.
- Mirowski, Philip, 2007. "Markets come to bits: Evolution, computation and markomata in economic science," Journal of Economic Behavior & Organization, Elsevier, vol. 63(2), pages 209-242, June.
- K. Vela Velupillai, 2005.
"The impossibility of an effective theory of policy in a complex economy,"
Department of Economics Working Papers
0514, Department of Economics, University of Trento, Italia.
- K. Vela Velupillai, 2005. "The impossibility of an Effective Theory of Policy in a Complex Economy," Working Papers 0094, National University of Ireland Galway, Department of Economics, revised 2005.
- Janet L. Yellen, 2009. "A Minsky meltdown: lessons for central bankers," FRBSF Economic Letter, Federal Reserve Bank of San Francisco, issue may1.
- Ronald Fagin & Joseph Y. Halpern & Yoram Moses & Moshe Y. Vardi, 2003. "Reasoning About Knowledge," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262562006, January.
- Nicolaas J. Vriend, 1999. "Was Hayek an Ace?," Working Papers 403, Queen Mary, University of London, School of Economics and Finance.
- Arthur T. Denzau & Douglass C. North, 1993.
"Shared Mental Models: Ideologies and Institutions,"
- Canning, David, 1992. "Rationality, Computability, and Nash Equilibrium," Econometrica, Econometric Society, vol. 60(4), pages 877-88, July.
- Roger Koppl & J. Barkley Rosser Jr, 2002. "All That I Have to Say Has Already Crossed Your Mind," Metroeconomica, Wiley Blackwell, vol. 53(4), pages 339-360, November.
- Kumaraswamy Velupillai, . "The Computable Approach to Economics," Working Papers _005, University of California at Los Angeles, Center for Computable Economics.
- David H. Wolpert, 1996. "An Incompleteness Theorem for Calculating the Future," Working Papers 96-03-008, Santa Fe Institute.
- Lewis, Alain A., 1992. "Some aspects of effectively constructive mathematics that are relevant to the foundations of neoclassical mathematical economics and theory of games," Mathematical Social Sciences, Elsevier, vol. 24(2-3), pages 209-235, November.
- Frydman Roman & Goldberg Michael D., 2009. "Financial Markets and the State: Long Swings, Risk, and the Scope of Regulation," Capitalism and Society, De Gruyter, vol. 4(2), pages 1-45, October.
- McFadden, Daniel, 1979. "A note on the computability of tests of the strong axiom of revealed preference," Journal of Mathematical Economics, Elsevier, vol. 6(1), pages 15-16, March.
- Bartholo, R.S. & Cosenza, C.A.N. & Doria, F.A. & de Lessa, C.T.R., 2009. "Can economic systems be seen as computing devices?," Journal of Economic Behavior & Organization, Elsevier, vol. 70(1-2), pages 72-80, May.
- Carmen M. Reinhart & Kenneth S. Rogoff, 2009. "This Time Is Different: Eight Centuries of Financial Folly," Economics Books, Princeton University Press, edition 1, volume 1, number 8973.
- Binmore, Ken, 1987. "Modeling Rational Players: Part I," Economics and Philosophy, Cambridge University Press, vol. 3(02), pages 179-214, October.
- Gode, Dhananjay K & Sunder, Shyam, 1993. "Allocative Efficiency of Markets with Zero-Intelligence Traders: Market as a Partial Substitute for Individual Rationality," Journal of Political Economy, University of Chicago Press, vol. 101(1), pages 119-37, February.
- Dequech, David, 2006. "The new institutional economics and the theory of behaviour under uncertainty," Journal of Economic Behavior & Organization, Elsevier, vol. 59(1), pages 109-131, January.
- Mirowski, Philip, 2007. "On kicking the habit: A response to the JEBO Symposium on "Markets Come to Bits"," Journal of Economic Behavior & Organization, Elsevier, vol. 63(2), pages 359-371, June.
- Albin, Peter S., 1982. "The metalogic of economic predictions, calculations and propositions," Mathematical Social Sciences, Elsevier, vol. 3(4), pages 329-358, December.
- repec:fip:fedfsp:y:2009:i:apr16 is not listed on IDEAS
- Koppl, Roger & Whitman, Douglas Glen, 2004. "Rational-choice hermeneutics," Journal of Economic Behavior & Organization, Elsevier, vol. 55(3), pages 295-317, November.
- J. Barkley Rosser, 1999. "On the Complexities of Complex Economic Dynamics," Journal of Economic Perspectives, American Economic Association, vol. 13(4), pages 169-192, Fall.
- Wagner, Richard E., 2012. "A macro economy as an ecology of plans," Journal of Economic Behavior & Organization, Elsevier, vol. 82(2), pages 433-444.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
If references are entirely missing, you can add them using this form.