Wednesday, October 13, 2010

Modeling in quantum economics

We start with out premise that there are few solutions to production, and the ones found by the economy are very locally stable.  We ca hld a strcuture for w aiel, then we srop a rank, literally using a sparer distribution network.  Er operate in the N-1 state, the deflated state in which inventories accumulate.

The dimensionality of production is small, so the QM model would expect the economy to have five pole/zero combinations typically, using the hydraulic bandwith model.  QM modelers would be trying to reconstruct the dimensionality of production in a particular sector by decomposing output into a generalized yield curve.  The quantum component comes in when we know values of state variables cannot exceed a trading range, like analytic stock traders do.  When a sector trade gets out of range, then the sector may be due for a deflation (or visa versa).

There is more to it, somewhere.

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