Subject: Re: Metastable oscillators
From: Rich Bodo <rsb@ostel.com>
Date: Thu, 27 Feb 2003 00:24:45 -0800 (PST)


> Thus, price volatility, in some sense, is exactly the "quantum judo"
> you refer to as "a wonderful thought."  You just don't notice it
> because it's such an everyday miracle.

For the record, I found the idea of "entangled minds" a wonderful
thought.  This is because I read too many comics as a kid.  The idea
of quantam economics is just super-neat.

You can view an economy as it suits you.  Soros repeatedly tries to
make the point that his view of markets has provided him with valuable
analysis.  I found his assertion that a collective realization that
markets are unstable will cause them to become unstable to be a weak
link as he usually states it.  A knowledge of economics doesn't top
the list of reasons for mania.  The underlying causes of collective
realization are manifold, and probably not worth discussing here.

You make a really good point.  Any analysis of an unstable system must
take into account catastrophic failure of the control system.

-Rich

Rich Bodo | rsb@ostel.com | 650-964-4678