You're right. A command economy is very different. I was talking about a
market economy. And perhaps by definition a market economy is demand-driven
since there are no markets without demand.

-- Russ



On Tue, Oct 19, 2010 at 9:13 PM, <fabio.bosche...@csiro.au> wrote:

>    I suggested that a basic difference is that ecologies are supply driven
> whereas economies are demand driven.
>
> [Fabio] Hi Russ
>
>
>
> I wonder whether this statement refers to economies in general or
> specifically to capitalism; not all economic systems humans have devised are
> demand-driven. Many claim that capitalism would not exist without
> advertisement, which questions how ‘natural’ demand is as a driver.
>
>
>
> In my view, the difference between ecology and economics lies in the
> constraints; in the ecology these are biophysical, in the economy they seem
> to be much closer to human imagination and creativity (for example, many
> people buy and sell literally nothing). Many would claim that it is exactly
> this mismatch in constraints which will lead us to doom.
>
>
>
> Fabio
>
>
>
>
>
>   For the most part, ecologies are food chains. Organisms live or not
> depending on whether they have enough to eat.
>
>
>
> Economies in contrast are demand driven. We are currently in an economic
> slump (perhaps you aren't) because there isn't enough demand. Most people
> (but not all) depend on demand to enable them to get the resources they need
> to survive. For the most part that seems not to be true in ecologies. (I
> know there are examples of where an organism depends on demand. The bacteria
> example in the post you read is an example.) Most organisms in ecologies
> depend primarily on the existence of resources, not demand for their
> services.
>
>
>
> Also, I'm not talking about long term effects like corrals. Just more or
> less steady state systems.  This was all prompted by my puzzling about the
> nature of our economic system. There was once a joke about California that
> there really isn't any productive industry here. We all just take in each
> other's laundry to make a living. In some sense there is probably more truth
> to that than it seems. Most of us do depend on someone else wanting our
> services.
>
>
>
> So that's the background to the post you read. I'm always interested in
> your comments.
>
>
> -- Russ
>
>
>
>  On Mon, Oct 18, 2010 at 9:11 PM, <beth.ful...@csiro.au> wrote:
>
> G'day,
>
> If I'm understanding your premise here I'm not sure I agree.
>
> First flippantly Fabio Boschetti is currently sitting here with me and as
> he pointed out, if you just look at advertising you'd be hard pressed to get
> beyond pairing and consuming as the selling tools ;)
>
> More seriously people do things to "get by" and increase their "security"
> whether that's economic security, food security, recreational security or
> ecosystem service security. All still comes down to "living" or the "future"
> (i.e. feeding or pairing in effect). There are plenty of unintended
> consequences of the day-to-day activities that go on to have indirect
> products others use, but the same is true of ecological communities too -
> corals don't build skeletons because that will make a complex 3D habitat
> that acts as infrastructure for reef fish, but that's the way it works out.
>
> After 20 years of ecosystem and now socio-econ-ecological system
> modelling/study I really can't say I see a dichotomy in the fundamental
> structural pattens across the different components. I do see that economic
> systems don't feel their constraints until they are closer to a hysteresis
> point, while ecological systems typically feel constraints more quickly, but
> functionally there are many many parallels between the two, which is why so
> many of the tools are being simultaneously applied to both fields now
> (input/output, loop analysis, ABMs etc).
>
> Cheers
>
> Beth
>
> ________________________________________
> From: causality_in_complex_syst...@googlegroups.com [
> causality_in_complex_syst...@googlegroups.com] On Behalf Of Russ Abbott [
> russ.abb...@gmail.com]
> Sent: Tuesday, 19 October 2010 10:19 AM
> To: The Friday Morning Applied Complexity Coffee Group; Alexandre
> Lomovtsev; Porter, Edith; Matthew Berryman; Grisogono, Anne-Marie (Anemarija
> Degris); Shuger, Debora; Weber, Bob; causality_in_complex_systems
> Subject: [Causality in Complex Systems] Re: [FRIAM] Economy vs. ecology, er
>
>
> I think that Jochen is right to look at what is being produced. It's a
> fairly commonplace observation by now that living organisms reduce entropy
> locally. Someone who is fairly well know wrote as part of a fairly  large
> book (and I can't remember either the author or the book; it's perhaps 5
> years old) that a good way to decide when something is productive is to see
> whether it results in a local decrease in entropy. Most "consumption" is not
> productive in that sense; most "work" is. "Recreation" can be either.
>
> Living organisms, as Jochen said, "produce" themselves. They also produce
> other things. Birds build nests. Beavers build dams. Spiders build webs.
> Most organisms build some sort of home for themselves. All social organisms
> build social networks of various sorts. So it's not just that organisms
> build nothing but themselves.
>
> We, in our advanced economy have become dependent on building things other
> than ourselves. That seems to be one of the primary differences. Even though
> other organisms build other things, for the most part they spend most of
> their energy building themselves -- and their offspring.  Also, the things
> they build are generally built for themselves -- or at least their social
> group. Most of us spend most(?) of our energy building things other than
> ourselves. And they are things that we don't use directly, and often not
> indirectly. (Although since they are produced for the economy, and we are
> part of the economy, perhaps that's not strictly true.) Not only that, we
> depend on a demand for the things we build (and I'm using "build" very
> broadly to refer to any kind of paid work) to supply us with the means to
> get the resources necessary to build ourselves, i.e., to buy food. Other
> organisms don't depend on demand to supply their resources.
>
> Symbiotic species combinations make this even more difficult to analyze.
> What about the bacteria in our gut, for example? They depend on the demand
> we make of them to help us digest food. And we pay them with nutrients.
> Without the demand for their services, e.g., if we die, so do they.
>
> I think this is a direction worth pursuing. Sorry if this post has been
> somewhat ragged. There are a lot of pieces that should be disentangled.
>
> -- Russ Abbott
> ______________________________________
>  Professor, Computer Science
>  California State University, Los Angeles
>
>  Google voice: 424-242-USA0 (last character is zero)
>  blog: http://russabbott.blogspot.com/
>  vita:  http://sites.google.com/site/russabbott/
> ______________________________________
>
>
>   On Mon, Oct 18, 2010 at 12:42 PM, Jochen Fromm <jfr...@t-online.de
> <mailto:jfr...@t-online.de>> wrote:
> Tory is right, ecologic systems and especially
> their inhabitants, the living organisms, look
> more complex than companies or corporations.
> What I meant was that there seem to be a
> fundamental difference in the input-output
> relations.
>
> The output of agents in economic systems is
> a product made from the inputs during the
> business process. In ecologic systems this is
> only comparable to the cognitive part of
> organisms, where perceptions are processed to
> produce an action. In the "food web" there is
> nothing produced except the organisms themselves.
> Whenever there is something interesting happening
> in nature, it is either supper time or pairing
> time. The former is used to sustain the body,
> the latter to sustain the species. This is
> different from economies, isn't it?
>
> -J.
>
> ----- Original Message ----- From: Eric Smith
> To: The Friday Morning Applied Complexity Coffee Group
> Sent: Monday, October 18, 2010 12:02 PM
> Subject: Re: [FRIAM] Economy vs. ecology, er
>
> The acts that organisms take, merely in the course of living from one day
> to the next, tend to be under-emphasized in relation to the acts of
> reproducing. But the input-output relations of ecology should correspond
> fairly nicely to the input-output relations of the economy, if either were a
> well-formed technical theory.  In economics, input-output goes under the
> names Leontief I/O theory, or closely related von Neumann-Gale growth
> theory.  I have often wished that either had more of the strictness of
> chemical input/output relations -- at least where such are warranted -- but
> that is not yet the case, as both fields have been more interested in the
> flexibility afforded by innovation than in the constraints that limit the
> landscape.
>
> In terms of what organisms do to each other, whether intentionally or
> inadvertently, there are the two names "Niche Construction" and "ecosystem
> engineering".  The first has a book by Laland, Odling-Smee, and Feldman.
> It's a big area, and the book only opens the topic, but it's a start.  Many
> of the ideas are general enough that they are equally comfortable in the
> economy, which is, as you say, part of the global ecosystem.
>
>
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