IDEAS home Printed from
MyIDEAS: Log in (now much improved!) to save this paper

Bounded Rationality And Economic Evolution

Listed author(s):
  • Silvia London

    (Universidad Nacional del Sur)

Economic evolution is said to occur when economic structures change. That is, when the institutional and/or technological rules of a society are replaced by new ones. As with evolutionary phenomena in other fields it is rather impossible to predict such a change. The reason is that economic theory lacks a rationale for structural changes. A large literature deals with this problem, with widely different answers.In this paper we present a simple model of how evolutionary change may be caused when the agents have bounded rationality. Each agent i has a model of the internal (and external) workings of the economy which is summarized, given that the current period is t, by a knowledge correspondence Ki (wt) Í W t+1, where w represents the state of the world and W the collection of those states.This Ki (wt) representing an evolving economy can be formalized in various forms. One of the possibilities we explore here is through economic ESO systems, which are basically cellular automata with endogenous rules of change that extend the notion of critically self-organized systems (SOC).

To our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.

Paper provided by Society for Computational Economics in its series Computing in Economics and Finance 2000 with number 376.

in new window

Date of creation: 05 Jul 2000
Handle: RePEc:sce:scecf0:376
Contact details of provider: Postal:
CEF 2000, Departament d'Economia i Empresa, Universitat Pompeu Fabra, Ramon Trias Fargas, 25,27, 08005, Barcelona, Spain

Fax: +34 93 542 17 46
Web page:

More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:sce:scecf0:376. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum)

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.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.