IDEAS home Printed from https://ideas.repec.org/a/spr/epolin/v48y2021i4d10.1007_s40812-021-00199-6.html
   My bibliography  Save this article

Design, systems approaches, and the engineering-economics nexus

Author

Listed:
  • César García-Díaz

    (Pontificia Universidad Javeriana)

Abstract

Economics and engineering are discovering new opportunities for cross-fertilization. This is partly given to the advent of modern artificial intelligence methods. These opportunities have appeared in the past, resulting in marginal improvements toward integration. As explained by Mariotti (Journal of Industrial and Business Economics, 2021), over the years there has been an intertwining of the two disciplines along the progression of economics for/and/as engineering. Mariotti (2021) also points out that a real transdisciplinary integration (i.e., à la Prigogine) implies a mutual nurturing, where one discipline´s conceptual apparatus is incorporated into the other. A fine-grained view of the epistemological differences of the two disciplines reveals that an integration might be more likely along some, but not all directions. I explain these differences based on different connotations of the concept of design. Particularly, when referring to design aspects of social systems, I also argue that systems approaches may serve as a bridge to integrate economics and engineering. Finally, I offer alternatives to explore how this integration might be undertaken.

Suggested Citation

  • César García-Díaz, 2021. "Design, systems approaches, and the engineering-economics nexus," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 48(4), pages 601-607, December.
    • Handle: RePEc:spr:epolin:v:48:y:2021:i:4:d:10.1007_s40812-021-00199-6
    DOI: 10.1007/s40812-021-00199-6
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40812-021-00199-6
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s40812-021-00199-6?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Kenneth E. Boulding, 1956. "General Systems Theory--The Skeleton of Science," Management Science, INFORMS, vol. 2(3), pages 197-208, April.
    2. N. G. Mankiw, 2009. "The Macroeconomist as Scientist and Engineer," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 5.
    3. Sarasvathy, Saras D., 2003. "Entrepreneurship as a science of the artificial," Journal of Economic Psychology, Elsevier, vol. 24(2), pages 203-220, April.
    4. Alvin E. Roth, 2002. "The Economist as Engineer: Game Theory, Experimentation, and Computation as Tools for Design Economics," Econometrica, Econometric Society, vol. 70(4), pages 1341-1378, July.
    5. Pakes, Ariel & McGuire, Paul, 2001. "Stochastic Algorithms, Symmetric Markov Perfect Equilibrium, and the 'Curse' of Dimensionality," Econometrica, Econometric Society, vol. 69(5), pages 1261-1281, September.
    6. James G. March, 2014. "The two projects of microeconomics," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 23(2), pages 609-612.
    7. S Şerban Scrieciu & Nici Zimmermann & Zaid Chalabi & Mike Davies, 2021. "Linking complexity economics and systems thinking, with illustrative discussions of urban sustainability," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 45(4), pages 695-722.
    8. Levent Onural & Mustafa Çelebi Pınar & Can Fırtına, 2021. "Modeling Economic Activities and Random Catastrophic Failures of Financial Networks via Gibbs Random Fields," Computational Economics, Springer;Society for Computational Economics, vol. 58(2), pages 203-232, August.
    9. Roberto Mazzoleni & Richard R. Nelson, 2013. "An interpretive history of challenges to neoclassical microeconomics and how they have fared," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 22(6), pages 1409-1451, December.
    10. Edward P. Lazear, 2000. "Economic Imperialism," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 115(1), pages 99-146.
    11. March, James G. & Olsen, Johan P., 1998. "The Institutional Dynamics of International Political Orders," International Organization, Cambridge University Press, vol. 52(4), pages 943-969, October.
    12. Hal R. Varian, 2010. "Computer Mediated Transactions," American Economic Review, American Economic Association, vol. 100(2), pages 1-10, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Steve J. Bickley & Ho Fai Chan & Benno Torgler, 2022. "Artificial intelligence in the field of economics," Scientometrics, Springer;Akadémiai Kiadó, vol. 127(4), pages 2055-2084, April.
    2. Croson, Rachel & Gächter, Simon, 2010. "The science of experimental economics," Journal of Economic Behavior & Organization, Elsevier, vol. 73(1), pages 122-131, January.
    3. Sergio Mariotti, 2021. "Forging a new alliance between economics and engineering," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 48(4), pages 551-572, December.
    4. Hyytinen, Ari, 2021. "Shared problem solving and design thinking in entrepreneurship research," Journal of Business Venturing Insights, Elsevier, vol. 16(C).
    5. Adnan Haider Bukhari & Safdar Ullah Khan, 2008. "A Small Open Economy DSGE Model for Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 47(4), pages 963-1008.
    6. Peter Coles & John Cawley & Phillip B. Levine & Muriel Niederle & Alvin E. Roth & John J. Siegfried, 2010. "The Job Market for New Economists: A Market Design Perspective," Journal of Economic Perspectives, American Economic Association, vol. 24(4), pages 187-206, Fall.
    7. Abou Nabout, Nadia & Skiera, Bernd, 2012. "Return on Quality Improvements in Search Engine Marketing," Journal of Interactive Marketing, Elsevier, vol. 26(3), pages 141-154.
    8. Acosta, Juan & Cherrier, Beatrice, 2021. "The Transformation Of Economic Analysis At The Board Of Governors Of The Federal Reserve System During The 1960s," Journal of the History of Economic Thought, Cambridge University Press, vol. 43(3), pages 323-349, September.
    9. Lu, Jinfeng & Dimov, Dimo, 2023. "A system dynamics modelling of entrepreneurship and growth within firms," Journal of Business Venturing, Elsevier, vol. 38(3).
    10. Théret, Bruno, 2011. "Du keynésianisme au libertarianisme.La place de la monnaie dans les transformations du savoir économique autorisé," Revue de la Régulation - Capitalisme, institutions, pouvoirs, Association Recherche et Régulation, vol. 10.
    11. Alvin E. Roth & Tayfun Sönmez & M. Utku Ünver, 2004. "Kidney Exchange," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 119(2), pages 457-488.
    12. Mellár, Tamás, 2010. "Válaszút előtt a makroökonómia? [Does macroeconomics face a dilemma?]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 591-611.
    13. Muriel Niederle & Alvin E. Roth, 2009. "The Effects of a Centralized Clearinghouse on Job Placement, Wages, and Hiring Practices," NBER Chapters, in: Studies of Labor Market Intermediation, pages 235-271, National Bureau of Economic Research, Inc.
    14. Erlanson, Albin & Szwagrzak, Karol, 2013. "Strategy-Proof Package Assignment," Working Papers 2013:43, Lund University, Department of Economics.
    15. Gossé, Jean-Baptiste & Guillaumin, Cyriac, 2013. "L’apport de la représentation VAR de Christopher A. Sims à la science économique," L'Actualité Economique, Société Canadienne de Science Economique, vol. 89(4), pages 309-319, Décembre.
    16. Scott Duke Kominers & Alexander Teytelboym & Vincent P Crawford, 2017. "An invitation to market design," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 33(4), pages 541-571.
    17. Chang, Yang-Ming & Sanders, Shane & Walia, Bhavneet, 2015. "The costs of conflict: A choice-theoretic, equilibrium analysis," Economics Letters, Elsevier, vol. 131(C), pages 62-65.
    18. Eijffinger, Sylvester C.W. & Hoeberichts, Macro M., 2008. "The trade-off between central bank independence and conservatism in a New Keynesian framework," European Journal of Political Economy, Elsevier, vol. 24(4), pages 742-747, December.
    19. Johannes Abeler & Felix Marklein, 2017. "Fungibility, Labels, and Consumption," Journal of the European Economic Association, European Economic Association, vol. 15(1), pages 99-127.
    20. Felicitas NOWAK-LEHMANN D. & Inma MARTÍNEZ-ZARZOSO & Dierk HERZER & Stephan KLASEN & Axel DREHER, 2010. "Foreign Aid and Its Effect on Per-Capita Income (Growth) in Recipient Countries: Pitfalls and Findings from a Time Series Perspective," EcoMod2010 259600121, EcoMod.

    More about this item

    Keywords

    Design; Systems; Complexity; Economics; Engineering;
    All these keywords.

    JEL classification:

    • A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
    • B50 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - General
    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:epolin:v:48:y:2021:i:4:d:10.1007_s40812-021-00199-6. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.