tag:blogger.com,1999:blog-6837159629100463303.post5123950613731000555..comments2023-06-18T01:25:08.748-07:00Comments on Information Transfer Economics: Towards Arrow-Debreu-McKenzie equilibrium, part N of NJason Smithhttp://www.blogger.com/profile/12680061127040420047noreply@blogger.comBlogger9125tag:blogger.com,1999:blog-6837159629100463303.post-87233081837077021392014-08-11T11:24:47.206-07:002014-08-11T11:24:47.206-07:00Mark Buchanan is more negative on Arrow Debreu tha...Mark Buchanan is more negative on Arrow Debreu than I am:<br /><br /><a href="http://physicsoffinance.blogspot.com/2014/08/arrow-debreu-derangement-syndrome.html" rel="nofollow">http://physicsoffinance.blogspot.com/2014/08/arrow-debreu-derangement-syndrome.html</a><br /><br />For him, it's the unrealistic assumptions. For me, it's more the fact that it would be useless from a practical point of view even if the assumptions were realistic.Jason Smithhttps://www.blogger.com/profile/12680061127040420047noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-70777160300663544032014-06-30T12:44:24.931-07:002014-06-30T12:44:24.931-07:00re: citation: congratulations!
re: your response ...re: citation: congratulations!<br /><br />re: your response to Dustin and Scott. I liked that. It allowed me to finally understand the full significance of the "vinegar" question/quote in your original post... maybe I'm just slow, but I read it twice at the time and still didn't completely get it. :DTom Brownhttps://www.blogger.com/profile/17654184190478330946noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-81253140593300355872014-06-30T11:21:58.171-07:002014-06-30T11:21:58.171-07:00Thanks.
I don't have any major issues with wh...Thanks.<br /><br />I don't have any major issues with what John is saying. In a sense he's coming at the problem from a pessimistic viewpoint about eventually getting a handle on economics where I'm a bit more optimistic.<br /><br />Also -- it appears this blog is getting a citation in the next update to their paper on the information transfer model. I should really get to work putting something on the arXiv.<br /><br />And I responded to Dustin and Scott. I would say that I agree that product quality may matter, but given the results that ignore product quality don't seem to be wildly off it seems that product quality doesn't matter very much.Jason Smithhttps://www.blogger.com/profile/12680061127040420047noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-25664502000667103402014-06-30T10:09:35.228-07:002014-06-30T10:09:35.228-07:00Also, both Scott and Dustin got back to you at the...Also, both Scott and Dustin got back to you at themoneyillusion.Tom Brownhttps://www.blogger.com/profile/17654184190478330946noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-84431985687883737572014-06-30T10:08:23.250-07:002014-06-30T10:08:23.250-07:00O/T: I've been recommending your blog to a par...O/T: I've been recommending your blog to a particular commenter (John D.) at pragcap for a while. He finally "took the bait" (maybe). Here's the thread if you're interested:<br /><br />http://pragcap.com/a-cheat-sheet-for-understanding-the-different-schools-of-economics/comment-page-1#comment-179034Tom Brownhttps://www.blogger.com/profile/17654184190478330946noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-92012503064144809022014-06-28T23:59:53.554-07:002014-06-28T23:59:53.554-07:00Yeah, Wren-Lewis has done a couple of interesting ...Yeah, Wren-Lewis has done a couple of interesting posts lately.<br /><br />But no that use of information is different ... It more has to do with how can you tell a fluctuating sequence has changed its mean than how do bits flow around an economy.Jason Smithhttps://www.blogger.com/profile/12680061127040420047noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-46635644829338509622014-06-28T23:56:03.640-07:002014-06-28T23:56:03.640-07:00I've only given up on trying to prove an ADM e...I've only given up on trying to prove an ADM equilibrium exists in this model ... I can't say that it's really changed anything about how I look at dSGE (they only really depend on ADM equilibrium in the sense that you know a DSGE model has at least one equilibrium).<br /><br />I'm still curious as to how the hyperinflation solution fit or how they change back and forth too. In a thermodynamics situation you'd actually be doing different things (adiabatic expansion, isothermal expansion) ... Natural processes generally don't switch from one to another.<br /><br />However, I think the thermal bath analogy helps. If the economy is in a "money supply bath" it undergoes hyperinflation as opposed to the usual "adiabatic" or isentropic expansion for the price level.<br /><br />And yes initial endowments are basically initial conditions ... I read that in a few places and thought that was the economic term.Jason Smithhttps://www.blogger.com/profile/12680061127040420047noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-58705894020996649702014-06-28T14:41:46.395-07:002014-06-28T14:41:46.395-07:00O/T: I thought this was interesting for historical...O/T: I thought this was interesting for historical reasons (Krugman links to it today):<br /><br />http://economistsview.typepad.com/economistsview/2014/06/the-rise-and-fall-of-the-new-classical-model.html<br /><br />He talks about a market in information, but I don't think that's related to your approach, is it?Tom Brownhttps://www.blogger.com/profile/17654184190478330946noreply@blogger.comtag:blogger.com,1999:blog-6837159629100463303.post-24461872495271959142014-06-28T13:47:08.001-07:002014-06-28T13:47:08.001-07:00Jason, I've only grasped a fraction of this se...Jason, I've only grasped a fraction of this series (and I'm glad you closed it out with the Nth out of N installments: just for completeness' sake), but it was still interesting to me. Has this series altered your opinion of DSGE type models for the purpose of analyzing macro economies at all? Do they depend on the ADM?<br /><br />I've only heard of partition functions and statistical mechanics this year when I got curious about how Planck came up with his famous idea about energy being quantized (I never took a class in thermodynamics or quantum mechanics). Here's one of the series I looked in in a lazy attempt to educate myself:<br />https://www.youtube.com/watch?v=-Fw_iogj4Ww<br /><br />On my todo list is to revisit all these posts of yours to understand them better.<br /><br />Also, does your "exogenous" solution to the price level DE fit into this analysis at all? I'm still super curious how the solution can move from endogenous to exogenous and how we might be able to tell which is which while they are happening.<br /><br />"Initial endowments" is a phrase I've first encountered here. How are they different than initial conditions?Tom Brownhttp://www.google.comnoreply@blogger.com