New economics

There’s a new school of economics that cannot be incrementally implemented from the old school; as it has fundamentally different premises that must be entirely replaced. Initially the field of economics, in order to become respectable (unlike the soft sciences), turned to mathematical models based in physics. But for the math to work it had to pretty much take out the human element and reduce incentive to self-interest to make the equations work. I.e., humans had to fit into idealized mathematical models as if the latter were indeed something akin to Plato’s ideal forms to which we much accommodate.

The new model, using the study of self-organizing, emergent dynamics, instead sees economics as guided by decentralization, both in theory and practice. Local stakeholders negotiate solutions to their very local situations instead of a one-size-fits-all mathematical ideology. The new way thought more in terms of public goods than individual ownership. This same dynamic would extend to larger and more inclusive groups like cities, states, nations and so on. It puts humanity and the real world back into the equation and dumps the mathematical ideology.


About theurj

Also known as theurj. I've contributed some essays to Integral World and co-founded Open Integral blog, now defunct. I continue to participate in Integral Postmetaphysical Spirituality forum.
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