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Complexity Economics: Proceedings of the Santa Fe Institute's 2019 Fall Symposium

Complexity Economics: Proceedings of the Santa Fe Institute's 2019 Fall Symposium

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Dialogues of the Applied Complexity Network I

When Santa Fe Institute scientists first started working on economics more than thirty years ago, many of their insights, approaches, and tools were considered beyond heterodox. These once-disparaged approaches included network economics, agents of limited rationality, and institutional evolution—all topics that are now increasingly considered mainstream. SFI continues to expand the boundary of our economic understanding by pioneering fields as diverse as collective intelligence and organizational scaling.

This volume, edited by W. Brian Arthur, Eric D. Beinhocker, and Allison Stanger, includes panel and talk transcripts from SFI’s 2019 Applied Complexity Network Symposium, with newly written introductions and reflections. Representing both scholarly and practitioner perspectives, this book explores the history and frontiers of complexity economics in a broad-ranging, accessible manner.

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About ACtioN

The Santa Fe Institute’s Applied Complexity Network (ACtioN) is a community of firms, governments, and nonprofits working at the frontier of complexity science. ACtioN helps members effectively employ complex systems insights to better achieve their organization’s goals.

Editors

  • W. Brian Arthur

  • Eric D. Beinhocker

  • Allison Stanger


Table of Contents

Foreword: Interaction & Innovation
William Tracy & Casey Cox

Complexity Economics: An Introduction
W. Brian Arthur, Eric D. Beinhocker & Allison Stanger

Day 1: Talks

Chapter 1: Complex Economies: From the Keynesian Orbit to the Darwinian Worm
David C. Krakauer

Chapter 2: Can Complexity Economics Save the World?
Introduction & Talk by Eric D. Beinhocker

Chapter 3: Consumers vs. Citizens: Social Inequality & Democracy in a Big-Data World
Introduction by William Tracy; Talk by Allison Stanger

Chapter 4: Ergodicity Economics
Talk by Ole Peters

Chapter 5: Formal Markets and Informal Networks
Introduction & Talk by Matthew O. Jackson

Chapter 6: Communication & Coordination in Experiments
Introduction & Talk by C. Mónica Capra

Chapter 7: Complexity Economics: Why Does Economics Need This Different Approach?
Introduction & Talk by W. Brian Arthur

Day 2: Panels

Chapter 8: Computation & Complex Economies
Moderated by David C. Krakauer, featuring Robert Axtell, Joshua Epstein, Jessica Flack, Blake LeBaron, John Miller & Melanie Mitchell

Agent-Based Models for Economics
Rob Axtell

The Right Idealization
Joshua Epstein

The Future Of Computational Economics
Blake LeBaron

Chapter 9: Physics & Economic Systems
Moderated by David C. Krakauer, featuring Ole Peters, Maria del Rio-Chanona, Cosma Shalizi & David Wolpert

Complexity Economics for a Pandemic
R. Maria del Rio-Chanona

The (NOT) Shortcomings of Modern Game Theory
David Wolpert

Remembering Three SFI Thinkers
Ole Peters

Chapter 10: The Economic Organism
Moderated by William Tracy, featuring C. Mónica Capra, Scott Page, Rajiv Sethi & Geoffrey West

Entropy & the Economy
C. Mónica Capra

Seeking a Robust Model of Disequilibrium
Rajiv Sethi

The Equilibrist & Complexologist Can Be Friends
Scott E. Page

Chapter 11: Economic Architectures
Moderated by William Tracy, featuring W. Brian Arthur, Eric D. Beinhocker, Matthew O. Jackson & Allison Stanger

Bringing Economics back into Society
Eric D. Beinhocker

Dense Financial Networks: Risk & Reward
Matthew O. Jackson

Broadening Economics’ Scope
W. Brian Arthur

Chapter 12: From Theory to Application
Moderated by Paul J. Davies, featuring Katherine Collins, Michael Mauboussin, Bill Miller & Dario Villani

Insights from Financial Professionals
Paul J. Davies

Mechanisms of Market Efficiency
Michael Mauboussin

Understanding a Delicate Machine
Bill Miller

No Such Thing as an Externality
Katherine Collins

Complexity: Poetry for the Millennium
Dario Villani

Afterword: The Future of Complexity Economics: Better Solutions to the World’s Problems
J. Doyne Farmer

Appendix

SFI’s Applied Complexity Network: A Brief History
SFI’s Annual Business Network/Applied Complexity Network Symposia 1994–2019
SFI Business Network/Applied Complexity Network Members, Past & Present
Business as UNusual
New Complexity Economics 2019 Symposium Agenda
Economic Curiosities