main index

P00: frame around

P01: olicognography

P04: pop. economy




Graph Start

Core n
Half complex graph








Collective Individual

Basic Olicognograph: Cooperation

Public or Social and Rule of Law

Public economy has an interest in: large quantities, scales economies, coordination of incentives, noticeable social effects to support, adverse-preventable negative effects or positive ones to work with, seriousness of affecting phenomena, important preventive measures, networked rules to structure, collective games to overview, diffuse scale results and regulate social hard games. When social and indvidual responsibilities are sensible and easy to implement; good quality of public practices means public hands should be minimum but relevant (?) and sustainablity positively sweet. So it is not sure that modern sophisticated social models are the best ones. Fair public management of / by private enconomy must care that complete costs are well assumed, look at externalities and all ceteris paribus seek energetic costs be minimum and social ones not preventing things of social minimum maintenance as well as promoting more thermoeconomical efficient transformations, be done fairly, distributed respecting flows essential to maintenance and/or resilience. Properly speaking any business have to stay compatible with manageability of ecological impacts. Any social models must value that and, at the same time, be tolerant or robust to impredictable margins, cautious for if negative, opportunitically prepare for catching emerging positive ones, drive or accept switches in the range of potential margin of progress.

"The rule of law is a legal and constitutional concept to protect individual freedom and social peace which stipulates that the people and government authorities should be ruled by the law and obey it; that the laws should be such that people are, on the whole, able and willing to be guided by them, more specifically, that protection from private license and anarchy is guaranteed; that government is placed under the law; that the laws are certain, general and non-discriminatory (universal); that the laws are generally in harmony with social values and internal institutions; that the law is enforced by impartial, rule-bound coercion, and adjudicated by an independent judiciary and impartial tribunals which follow due process; and that the law and its practice encourage an attitude of legality throughout the community".

"Institutions are rules of human interactions that constrain possibly opportunistic and erratic individual behaviors, thereby making human behaviour more predictable and thus facilitating the division of labour and wealth creation. Institutions, to be effective, aiways imply some kind of sanction for rule violations. order prevails if repetitive human interactions follow some kind of discernible pattern such patterns can emerge when sets of institutions exist that are sufficiently cohesive to channel human aclions so that they are non-random and hence essentially predictable. lnstitutional economics covers a two-way relationship between economics and institutions. It is concerned with the effects of institutions on the economy as well as the deveropment of institutions in response to economic experiences". It is to observe that better understanding of complexities' constraints imply important revision of many of concepts about management and governance of means provided by institutions, and so on. Not to invalid any and processes but to widen tools, forms, patterns, to care about what have been demonstrated as ambiguous, evidence of paradoxes, ways of critical thinking when positive, care about normative thinking when short cutting, and so on. To be more reasonable with the genesis of concepts, the deterministic patterns of actions, plans goals and ambitions.

"Coordination costs arise when individuals interact with others to combine property rights which they own. Transaction costs are the costs of employing resources when people use markets to exchange property rights. They include the costs of searching for market information, contracting, monitoring and enforcing the fulfillment of contracts. Exclusion costs arise when people want to ensure that no one else makes unauthorized use of their property. The mere passive keeping of property causes such costs, for example expenses for fences, locks, night watchmen and police, share registries and patent protection.Organization costs arise when people try to combine their own resources with those owned by others within an organization, such as a business firm, to pursue shared purposes. These include the costs to set up organisations, communication, planning, negotiation and monitoring the performance of duties within an organization". It is also necessary to review the concepts of properties, more according safety, commitment and views on how is essential to identities (including values).

"Compliance costs have to be incurred by private individuals and organisations, whenever they are subject to the public law provisions of government. Citizens and organizations must comply with institutional constraints that arise in taxation and public regulation. This is the case, for example, when citizens have to spend resources on preparing accounts for tax declarations and when firms have to submit reports that demonstrate that they are complying with government regulations. The agency costs of government refer to the resource costs of running government bodies, including the costs of monitoring what happens outside and inside government. They are typically financed by taxes, other levies and the incurring of public debtIndividual are inclined to interpret new evidence in ways that confirm their pre-existing beliefs. They also tend to change their beliefs to enhance the desirability of their past actions". Concepts of costs are sort of metaphoreq of social values needed to be in any citizen's mind, whatever the label given, providing responsible citizens willing to care about their society all for one (sort of trascendental unit) with societal solidarity for all and any; matching subjective (common) aims with practical issues or; similar complex dual program: social materialistic sustainable constructions (common safety) with everyones subjective satisfaction (happyness).

"The view that rationality is a psychological process is a relic of the late eighteenth century. Even today, it is still commonplace to distinguish humans from other animals on the basis that humans can be rational. Thus any criticism of a psychologistic view of rationality might be considered dangerous. Nevertheless, the psychologistic view is based on a simple mistake. It confuses one’s argument in favor of an individual’s decision with the process of making the decision. It also confuses being rational with being reasonable – the latter only implies the willingness to provide reasons for one’s actions. The reasons may not always be adequate". We would add that rationality is often misconceived as something as a perfect pure first logic unique solutions, when modern views should consider principle of uncertainty, the sort of best of criteria of saddle-line of trail ahead we mention, diversity and heterogeneity, that people often practised spontaneously, but not according the information and representations of the world they are provided.

Invidual and Neuroeconomics

"Grounding behavioral theories in methodological pragmatism allows us to avoid the excesses of both positivist reductionism and the morass of post-modern relativism. Economic behavior can be understood by observing the actions of actual individual agents and the structural context within which they operate. There also seems to be a movement toward accepting a single useful operational structure to analyze human behavior, namely, generalized Darwinism. The basic idea is that social change as well as biological evolution can be understood by applying the Darwinian framework of variation, inheritance and selection". it is to observe that such darwinian framework has often be misinterpreted by "diverstionists", eugenic determinists, suprematists discriminations, overreductions and misinterpretations of the true complex mechanisms of selection. As in any fight of contenders abusing of primary and often of more moderate scientific authors. Biodiversity, genetics and so on have well established the importence of neutral primary emergence, delays of natural processes of genetic selections, epigenetics is revealing more important then imagined, complicated processes of selection support neolamarkism and so on.

"Psychologism is the methodological prescription that psychological states are the only exogenous variables permitted beyond natural givens (e.g., weather, contents of the Universe, etc.). Psychologistic individualism is the version of psychologism which identifies the individual with his or her psychological states. Psychologism is very versatile. In the short run it satisfies the needs of Conventionalism in that it provides at least one criterion for the acceptability of alternative theories or models in terms of the prescription of acceptable exogenous variables. In the longer-run perspective of Pareto or Mill it also focuses on one source of atomistic facts in order to imitate inductive science. It is unlikely that anyone ascribes to this long-run perspective anymore. Instead, we shall argue that psychologism is retained because it is a part of the Conventionalist program to deal with the Problem of Induction. If, as required by psychologistic individualism, it is only an epiphenomenon, then it must be true that (1) the actual price system can be influenced by each individual, and (2) in (an) explanation of the price system, the value of all prices can be determined only by reference to all exogenous variables, namely, the natural givens and the psychological states of all individuals".

"Unfortunately, an existence proof does not usually provide behavioral reasons for the occurence of an equilibrium. All of the mathematical maxi-studies concerning existence proofs have only assured the existence of a possible balance (for example, as a solution of a system of simultaneous equations representing demand and supply functions). The question still may be open as to whether a potential balance is also an equilibrium". The Framing Effect – Consistency in choice is the hallmark of rational economic man and it implies that evaluation of choices will be unaffected by the manner in which the choices are framed. This view was challenged in a formulation of 'prospect theory', that is, people evaluate changes in terms of a reference point. The 'framing effect' means that the frame of references may change according to how a particular choice is presented and this will affect the payoff decision. This effect has been confirmed in numerous experiments and it too seems to have a neuropsychiatrical basis".

"Neurosciences show clearly that simply modifying the basic homo economicus assumptions will not yield a satisfactory model of human behavior. If the self-regarding agent assumption is dropped, the Walrasian system collapses. Neuroeconomics not only encompasses empirical work using neuroscience methods, but also involve importing insights from neuroscience to refine economic models of behavior. Again, perhaps the most important of these insights is that behavior, including economic behavior, results from the interaction of multiple interacting specialized neural systems. In fitting the brain to a computational view, such explanations omit incompatible neurophysiological details [our adding in brackets]:

  • Widespread apparent randomness at all levels of neural processes (is it noise or underlying levels of complexity?)
  • Glial cells (accounts for some 80 percent of the brain) [have plenty of active intervention in the support of activities of neurons),
  • Dendritic-dendritic processing [traditionnal studies have focused on dendrites-axon flows of neuroelectrophysiology],
  • Electrotonic gap junctions [traditionnaly more importance is given to synaptic release of neuromediatior from a pre-synaptic axonal membrane to a post-synaptic dendritic or body or muscle membranes]
  • Cytoplasmic / cytoskeletal activities [within cell's body rather than surfacic intermediate space],
  • Living state (the brain is alive!).
  • As Penrose objective reductions are proposed to be noncomputable (reflecting influences from space-time geometry that are neither random nor algorithmic), conscious choices and understanding may be similarly noncomputable.
  • Free will may be seen as a combination of deterministic preconscious processes acted on by a noncomputable influence.
  • Subjective time flow derives from a sequence of irreversible quantum state reductions".

Once passed the misguidance of first sociobiology, the neurobiology of brain and the criteria of common humanity offered many laboratories (and also harmless methods) for discerning the mechanisms of consciousness and the complexities of its economies."Consciousness emerges as a novel property of computational complexity among neurons. However, these approaches appear to fall short in fully explaining certain enigmatic features of consciousness, such as:

  • The nature of subjective experience, or “qualia”—our “inner life” (Chalmers’ “hard problem,” 1996),
  • The binding of spatially distributed brain activities into unitary objects in vision, and a coherent sense of self, or “oneness”,
  • The transition from preconscious processes to consciousness itself,
  • Noncomputability, or the notion that consciousness involves a factor that is neither random nor algorithmic, and that consciousness cannot be simulated (Penrose, 1989, 1994, 1997)
  • Free will [allowed y the environment for enacting?]
  • Subjective time flow".

Individual Socially Behaving

Behavioral economics as an application of cognitive science to the realm of economic decisionmaking. “The field is misnamed – it should have been called cognitive economics. Emerging view of cognition is that the human brain it is a unified, highly evolved system with complementary, rather than conflicting, components. For the most important decisions humans make, culture, institutions, and give-and-take interactions are critical and should be central to any behavioral model".

"Opportunism describes the short-term maximization of human satisfaction without regard to the impact of such behavior on others and without regard to the accepted norms of behavior in a community. Such behavior has disintegrating, and hence harmful, long-term consequences and makes human action less predictable over the long term. Thus, it is opportunistic to satisfy one's appetite by stealing from others, or to forget to repay one's contractual debts. 'By opportunism I mean self-interested seeking with guile. This includes, but is scarcely limited to, more blatant forms, such as lying, stealing, and cheating ). lt is the role of institutions, which always include sanctions, to suppress opportunism. Small-group coordination, for example within the family, is based on much implicit knowledge and informal behavioral control, usually by someone in authority whose power is tempered by sympathy. By contrast, macrogroup coordination requires general institutions because a large number of people have to be coordinated and no one can possess all the specific knowledge and capacity to control everyone and everything by prescriptive command". To comment that there is still some bias when judging deterministically there and now, of negative effects of opportunism. Contradictions and reversals may occur. As a result a more lax perspective in the present would nevertheless mean also in terms of responsibilities and posterior judgments, eventually including the benefits that could have been generated from morally dubious starts, unfair transfers of benefits to misselected next generations: inheritance; all at the light of social utility.

"Altruism is an attitude that places the interests of others above one's owe. lt contrasts not only with egotism (ruthless self-seeking), but also with a rational extended self interest in pursuing own goals in preference to satisfying the poorly known aspirations of others. A growing body of experimental evidence indicates that monetary incentives can be a deterrent to cooperative behavior. The Relative Income Effect found that brown capuchin monkeys (Cebus paella) exhibit a strong aversion to inequity. Postulate that the decision making brain forms a kind of topological map that encodes something like the relative expected gains of each possible choice. Actually making a choice (taking an action) depends on the strength of the signal relating to that particular action (the neural firing threshold). Our very complex, other-regarding, altruistic, empathetic behavior is what makes humans unique, and understanding this behavior is the key to formulating effective economic policies having complicated and long-lasting consequences.

According A. Sen there is no substitute to individual responsibility. So to examine Social responsibility:

either (A):

  1. From individual responsibility (no substituable) but a short range, not so immaterial (family, friends, group)
  2. Commitment and contribution added for society with a larger range since social group, regional issues up to national and even common humanity (jus cogens)
  3. Social product more than the sum of individual responsibilities & addition for society (scales' emergences')

or (B)

  1. Social obligations (more or less mediated by institutional processes, more or less managed by institutions or agencies),
  2. Individual responsibility (norm based but still variable, either legally managed or expressed as social norms),
  3. Social savings (by leverages effects since a density able to produce enough positivelly emerging effects),

and (C)

  1. Social obligation (intent to design as a product of A.1 and B.1)
  2. Individual wealth (intent to design as a product of A.3 and B.2)
  3. individual forgivness (of social obligation) (intent to design as aproduct of A.2 and B.3)

Of course observe that the disposal of previous list is just a reduction of an 3 x 3 olicognograph; we gave here to show you how a more complete and flexible perspective interlink complementary concepts. "In a world where there are abundant becoming-beings, systems but not atoms, perturbating each other, a world where systems in a very large number with heterogenous interfaces perturb each other, systems tend to distribute energy by dissipation. Different systems have different active areas by virtue of their structure. Just as systems inevitably distribute energy whenever there is contact. They are also inevitable to be part of interactions.This space makes possible for a dialogical opposition of the two tendencies: distribution and collection of energy". "Thus, living being is described to be a neither-nor-state, between the 2 extremes. The characteristic of this space is to maintain the state by replacement, reproduction, recycling or feedback. The abundance of little loops produce highly efficient work cycles, minimizing external energy dependence. A self-re-producing network of such beings manages to engulf a process and a counter process within the network of being, to counteract the two ‘deadly’ tendencies. A being capable of displaying behavioral changes without undergoing change in identity is born. And this logic continues to operate recursively to explain physiology, epigenesis, evolution and cognition".

Now with a more informative framwork provided by energetic implications of our transformations we could turn wiser and may be there would exist few possibilities of doing more work with less energy, without violating the principles of thermodynamics. Like systematizing the uses (that is being more intensive with:

  1. Material recycling (economics of recycling),
  2. Reproduction without wasting (economics of products productions),
  3. Imitate and Repeat the hard good caring ("economics of leisure" dedicated to good doings ... not just charity business of humanitarian tourism and crocodiles' tears),
  4. Repair and maintain before harder breakdown ("economics of maintenance", still basic needs of humans economies are for maintenance economy of artificial bypassing)
  5. Stop Investment as soon as wrong or adjust goals, if there is a clear sense that democracy will not be essentially affected (economics of information cautious with principle of precaution explosive costs)
  6. Loop any good renewal (neguentropic/entropic economics). As a whole there is plenty of cycles recyclings in the biosphere - the principle of ecology.
  7. Prevent human beings pretend to gain control on everything.

Balance wiselly between your individual and social goals . Care not to miss that as a competitor you may exist, where you are, observed others. So that the good better is everyone balance well different roles: consumer and producer, competitor and spectator, obediant and creativelly disorderign, respecting and mocking hierarchs, morally obfuscated bourgeois but popularly tolerant. Do not always take the same role in always the same way. Have compensation(s) and provide compensations. Help positivelly whenever costs could be less thank to you, to anyone. Do not do (pretend) to do everything to other; do no let any without reasons of doing well too.