Jump to ContentJump to Main Navigation
The Guidance of an Enterprise Economy$
Users without a subscription are not able to see the full content.

Martin Shubik and Eric Smith

Print publication date: 2016

Print ISBN-13: 9780262034630

Published to MIT Press Scholarship Online: May 2017

DOI: 10.7551/mitpress/9780262034630.001.0001

Show Summary Details
Page of

PRINTED FROM MIT PRESS SCHOLARSHIP ONLINE (www.mitpress.universitypressscholarship.com). (c) Copyright The MIT Press, 2022. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in MITSO for personal use.date: 06 July 2022

Process, Strategy, and Behavior

Process, Strategy, and Behavior

Chapter:
(p.475) 12 Process, Strategy, and Behavior
Source:
The Guidance of an Enterprise Economy
Author(s):

Martin Shubik

Eric Smith

Publisher:
The MIT Press
DOI:10.7551/mitpress/9780262034630.003.0012

The previous chapters have developed structure and provided proofs in principle as to how to build and analyse multistage models with simple assumptions about behavior. The hyper-astronomical explosion of special cases is to be welcomed as indicating that the initial timeless tight system, when converted to a loosely coupled process model, calls for both the specification of ad hoc questions and the supply of ad hoc model building of the detail needed to make it feasible to provide useful answers in any applications. We summarize the five dynamic models we analysed; but stress that in application there is no substitute for knowing both the relevant details and the behavioral considerations of the situation at hand. The dynamics of the steel industry requires details concerning both structure and behavior, as these are contrasted for example with selling high end art. In this chapter we examine the functioning of the double auction market and comment on trading mechanisms. Finally we discuss the relationship among solutions, structure and behaviour, closing with observations on dynamics and complexity and the false dichotomy between “Rational” or “Behavioral Agents”. For most individuals without deep psychological problems “context rationality” may provide a reasonable description.

Keywords:   Process, double auction, trading post, behavioral agent, clearing mechanisms

MIT Press Scholarship Online requires a subscription or purchase to access the full text of books within the service. Public users can however freely search the site and view the abstracts and keywords for each book and chapter.

Please, subscribe or login to access full text content.

If you think you should have access to this title, please contact your librarian.

To troubleshoot, please check our FAQs, and if you can't find the answer there, please contact us.