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Some epistemological implications of economic complexity

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  • Koppl, Roger

Abstract

I 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.

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  • Koppl, Roger, 2010. "Some epistemological implications of economic complexity," Journal of Economic Behavior & Organization, Elsevier, vol. 76(3), pages 859-872, December.
    • Handle: RePEc:eee:jeborg:v:76:y:2010:i:3:p:859-872
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    2. Wagner, Richard E., 2012. "A macro economy as an ecology of plans," Journal of Economic Behavior & Organization, Elsevier, vol. 82(2), pages 433-444.
    3. Peter Lewin, 2016. "Policy Design and Execution in a Complex World: Can We Learn from the Financial Crisis?," Advances in Austrian Economics, in: Studies in Austrian Macroeconomics, volume 20, pages 265-283, Emerald Group Publishing Limited.
    4. Richard E. Wagner, 2012. "Deficits, Debt, and Democracy," Books, Edward Elgar Publishing, number 14477.
    5. Agnès Festré & Pierre Garrouste, 2016. "Hayek on Expectations: The Interplay between two Complex Systems," GREDEG Working Papers 2016-13, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    6. William Luther, 2014. "Evenly rotating economy: A new modeling technique for an old equilibrium construct," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 27(4), pages 403-417, December.
    7. Moreno-Casas, Vicente & Espinosa, Victor I. & Wang, William Hongsong, 2022. "The political economy of complexity: The case of cyber-communism," Journal of Economic Behavior & Organization, Elsevier, vol. 204(C), pages 566-580.
    8. Peter Lewin, 2014. "Hayek and Lachmann," Chapters, in: Roger W. Garrison & Norman Barry (ed.), Elgar Companion to Hayekian Economics, chapter 8, pages 165-194, Edward Elgar Publishing.

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