Nonlinearity, Complexity and Randomness in Economics

Stefano Zambelli is Professor of Political Economy at the Department of Economics, University of Trento, Italy. He is also a founding member of the Algorithmic Social Sciences Research Unit (ASSRU) at University of Trento. Donald A.R. George is Senior Lecturer in Economics at the University of Edinburgh. He has published extensively on the economics of self-management, economic dynamics, and the economics of product reliability, and is joint founding Editor of the Journal of Economic Surveys.

• Notes on Contributors vii 1. Introduction 1Stefano Zambelli2. Towards an Algorithmic Revolution in Economic Theory 7K. Vela Velupillai3. An Algorithmic Information-Theoretic Approach to the Behaviour of Financial Markets 37Hector Zenil and Jean-Paul Delahaye4. Complexity and Randomness in Mathematics: Philosophical Reflections on the Relevance for Economic Modelling 69Sundar Sarukkai5. Behavioural Complexity 85Sami Al-Suwailem6. Bounded Rationality and the Emergence of Simplicity Amidst Complexity 111Cassey Lee7. Emergent Complexity in Agent-Based Computational Economics 131Shu-Heng Chen and Shu G.Wang8. Non-Linear Dynamics, Complexity and Randomness: Algorithmic Foundations 151K. Vela Velupillai9. Stock-Flow Interactions, Disequilibrium Macroeconomics and the Role of Economic Policy 173Toichiro Asada, Carl Chiarella, Peter Flaschel, Tarik Mouakil, Christian Proa˜no andWilli Semmler10. Equilibrium Versus Market Efficiency: Randomness versus Complexity in Finance Markets 203Joseph L. McCauley11. Flexible Accelerator Economic Systems as Coupled Oscillators 211Stefano Zambelli12. Shifting Sands: Non-Linearity, Complexity and Randomness in Economics 237Donald A.R. GeorgeIndex 241