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Quantifying Value with Effective Complexity
Journal of Interdisciplinary Economics Pub Date : 2020-05-21 , DOI: 10.1177/0260107920913663
Maxwell Murialdo 1 , Arturo Cifuentes 2
Affiliation  

We present a new economic theory of value based on complexity theory. For simplicity, we call this theory ‘complexalism’ (a portmanteau of ‘complexity’ and ‘capitalism’). Complexalism is a framework that establishes valuations by quantifying the present and future complexities of objects and their surroundings. This framework reparameterises questions of economic value into more objectively addressable subcomponents. First, we motivate the importance of developing alternative frameworks for value. Next, we discuss a novel three-dimensional framework to analyse value and the use of effective complexity as a proxy metric of economic value. Finally, we propose explicit methods for quantifying complexity and simulating valuations. The resulting valuations may serve to benchmark prices and can be used in evaluating the market rules of engagement.

JEL: B41, B59, C63, D63



中文翻译:

通过有效的复杂性量化价值

我们提出了一种基于复杂性理论的新的经济价值论。为简单起见,我们将此理论称为“复杂主义”(“复杂性”和“资本主义”的组合)。复杂性是通过量化对象及其周围环境的当前和未来复杂性来建立评估的框架。该框架将经济价值问题重新参数化为更客观可解决的子组件。首先,我们激发了开发替代价值框架的重要性。接下来,我们讨论一种新颖的三维框架,用于分析价值和使用有效复杂性作为经济价值的代理指标。最后,我们提出了用于量化复杂性和模拟估值的显式方法。所得的估值可用于基准价格,并可用于评估参与度的市场规则。

JEL:B41,B59,C63,D63

更新日期:2020-05-21
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