CABDyN Complexity Centre
Complexity Economics, INET Oxford
The INET Oxford Complexity Economics Programme is devoted to applying insights and methodologies from complex systems theory to develop a deeper understanding of economic phenomena. The Complexity Economics group utilises a broad toolkit of approaches including agent-based modelling, network theory, statistical physics, evolutionary theory, information theory, and non-linear dynamic modelling. The group is applying this toolkit to a range of phenomena in a number of thematic areas including:
- Financial system stability – The causes and dynamics of financial bubbles and crashes, the transmission mechanisms of financial contagion, macroeconomics and financial system linkages and interactions, causes of financial volatility, and macro-prudential policies that promote system robustness and resilience.
- Economic growth and innovation – Innovation as an evolutionary search process through combinatorial technology, product, and capability spaces, the relationship between economic complexity and growth, scaling properties of economic growth, the relationship between energy and information flows and growth, spatial relationships and growth, innovation and technology networks and growth, the possibility and requirements of environmentally sustainable growth, new approaches to economic growth policy including industrial policy and policies promoting sustainability.
- Risk and resilience – Defining and measuring risk in non-ergodic systems, incorporating tail risk and irreversibility into risk assessments, risk with revealed information and learning, human behaviour and decision making in the presence of risk, assessing risk and resilience in large-scale complex social systems and complex networks including the financial system and the interlinked economic-climate system, public policy frameworks for assessing and acting on risks and enhancing systemic resilience.
The Complexity Economics Programme is led by Professor J. Doyne Farmer, Department of Mathematics, and by Dr Felix Reed-Tsochas, James Martin Lecturer in Complex Systems, Saïd Business School. The programme is also affiliated with CABDyN Complexity Centre, which brings together a truly multi-disciplinary group of researchers in Oxford, ranging from the physical, biological and computational sciences to the social, economic and political sciences. The Complexity Economics Programme is based at the Saïd Business School and at the Mathematical Institute.
Daniel Fricke, Omar Guerrero, Hyejin Youn
Project funded by the The Institute for New Economic Thinking New York