Monday, July 18, 2005

The List Of True Economic Interactions Is Non-Denumerable

The economy is made up of various interactions between people and things in order to satisfy human needs mostly physical but also psychic.Now if the relationships between production and consumption of the various components are listed according to complexity we will end up with a group of programs stating the correlations between input and output.The problem is just when we think we have listed all the relationships and gave a deterministic account of the economy we can enlarge upon it to show our theory is incomplete.This is done by the familiar process of diagonalization by creating a new product which is made up of parts of the existing.Now this new product will not be able to be assimilated into the existing structure since it is different from anything now existing and our system is only able to process what we have since one of our assumptions is that we have encompassed all the possible economic interactions. As such economics is of necessity incomplete and in order to find out what will happen the economy must be run and only occasionally will theories be born out in reality.It is an empirical fact that economists predictions are invariably wrong sometimes spectacularly so.Now you know why. Any ideology which purports to say it is possible to capture the economy in a theory is equivalent to a theory which says it can know the outcomes of all computer programs which of course is impossible.Good -bye socialism. So socialists take their place in history beside circle squarers and angle trisectors as people who wasted their time trying to accomplish that which is impossible.