Economics of Collective Value

Abstract

Price and value are not synonymous, they are related concepts. Value is determined by desire of an individual for a good, price is determined by collective agreements on transactions to transfer that good. Such a shift between scales is at the heart of complex systems research, which quantifies the emergence of larger scale phenomena from smaller scale interactions. Attempts have been made toward formalizing theories of price formation, but none of them so far was able to reproduce historical economic data in a quantitative way.

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Document Details

Document Type
Technical Report
Publication Date
Mar 30, 2012
Accession Number
ADA583035

Entities

People

  • Marco Lagi
  • Yaneer Bar-yam

Organizations

  • New England Complex Systems Institute

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Abstracts
  • Agreements
  • Commerce
  • Commodities
  • Complex Systems
  • Conversion
  • Department Of Defense
  • Economic Systems
  • Economics
  • Engineering
  • Investments
  • Mathematics
  • New England
  • New York
  • Price Index
  • Students
  • Technology Transfer

Readers

  • Government Contracting/Procurement.
  • Systems Analysis and Design