Table of Contents
About the Authors
Chapter 1. A New Framework for the Economic Growth Theory
Economies as Evolutionary Complex Systems
Models of Complex Systems
From Quantity to Value: Gross Domestic Product
Criticisms of GDP
Inflation, Nominal and Real Quantities
The Concepts of Quality
Applying the Global Approach of Empirical Sciences to Model Quality
Models Connect Observations
The Concept of Qualitative Growth
The Duality of Modern Economies
The Green Transition
Chapter 2. Complexity and Quality in Modern Science
Is Science Purely Formal and Abstract?
Reductionism and Complex Systems
Physics and Qualities
Are Qualities Inevitably Related to Sentient Beings in Economic Systems?
Quality and GDP
Measuring the Quality of Life
Measuring the Quality of Output
Economics and Complex Systems
Measures of Complexity
Chapter 3. The Problem with Aggregation of Economic Output
Aggregation of Agents
Aggregation of Goods
Heterogenous Goods and the Cambridge Controversy
Reductionism and Complexity
Chapter 4. Inflation Is Not What You Think It Is
The Classic Concept of Inflation
Reconciling Households’ Perception of Inflation with Its Overestimation
Why Inflation Is Not a Self-Regulating Phenomenon
Dynamics of Inflation
Why Is Inflation so Feared?
Shortcomings of the Classical Concept of Inflation
How the Concept of Inflation Can Evolve
Chapter 5. Why Qualitative Growth Theory Is Needed
A Complexity-Based Approach to Decision Making
Why Do We Need a New Economic Framework Now?
Better Understanding of Growth, Expansion and Recession
Inflation and Innovation
Why Do We Need a New Economic Framework for the Green Transition?
Chapter 6. Models of Qualitative Growth
Theories and Models in Modern Science
Economic and Financial Models
The Predator-Prey Model, the Goodwin Model, and the Keen Model
Integrated Stock Flow Consistent Models
Modelling Quality and Complexity
Why Do We Need Abstract Variables in Macroeconomic Models?
How to Represent Quality, Quantity, and Generalized Inflation
Measures of Complexity and Generalized Inflation
Chapter 7. Economies as Complex Systems
Networks as Complex Systems
Description of Networks
Types of Networks
Some Results of Complexity Theory
How Is Monetary Profit Generated?
How Is Complexity Measured?
How Can Economic Complexity Grow?
Are There Additional Segmentation of the Economy?
Chapter 8. Social and Economic Consequences of Qualitative Growth
The Birth of Growth
Growth Is Not an Observable
What Would Have Happened if Qualitative Evaluation Would Have Been Applied?
Warnings and Indifference
How to Obtain Decoupling
Chapter 9. Summary View of the New Economic Framework