Problems in Large-Scale Social Economic Systems

Abstract

This paper attempts to show how complexity can defeat the analysis, prediction and control of large-scale dynamic systems. Some characteristics and facets of complexity are explored, and three research strategies are discussed which lead to a satisfactory treatment of complexity in dynamic systems. The research strategies relate to (i) the control-theoretic, hierarchical approach, (ii) the design-oriented, algebraic approach, (iii) models using catastrophe theory. The virtues of these approaches are compared, and some practical difficulties in dealing with complex systems are discussed.