Value chain loops and Hayek

I worked this problem a bit better.

Consider a trucker at the end of an Asian supply chain in 2006.  He is purchasing oil, as needed. Suddenly the oil price represents the oil consumption needed for the top of the chain, some four steps back.  He has a dependency, a loop and will do a sudden stop. He is paying the price for based on next months production.  Interest flow is supposed to prevent this, when done right.

Sandbox, eliminate dependencies by keep the value chains at -iLog(i), to the nearest floor. We are making the probability of inventory failure the same everywhere using interest flow as a signal.