Abstract
Sensitive dependence on initial conditions can explain forecast failure. This chapter develops a “routes to chaos”-approach which shows that all empirically adequate models of the economy as well as the climate exhibit sensitive dependence on initial conditions. As a first step, that approach identifies certain minimal models, namely the coupled oscillator and the cellular automata, which sensitively depend on initial conditions. Next, they are shown to model some characteristic features of both the economy as well as the climate under their every-day description. As the minimal models sensitively depend on initial conditions, so does any adequate model of the economy and our climate system, too.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
Rights and permissions
Copyright information
© 2006 Deutscher Universitäts-Verlag | GWV Fachverlage GmbH, Wiesbaden
About this chapter
Cite this chapter
(2006). Sensitive dependence on initial conditions. In: Prediction or Prophecy?. DUV. https://doi.org/10.1007/978-3-8350-9053-8_8
Download citation
DOI: https://doi.org/10.1007/978-3-8350-9053-8_8
Publisher Name: DUV
Print ISBN: 978-3-8350-0223-4
Online ISBN: 978-3-8350-9053-8
eBook Packages: Business and EconomicsEconomics and Finance (R0)