In MAKE Vol. 15, George Dyson, who writes the Retrospect column, looked at the mortgage meltdown.
The roots of the current financial meltdown can be found in John von Neumann’s model of general economic equilibrium, first developed in 1932. Von Neumann elucidated the behavior of an expanding, autocatalytic economy where “goods are produced not only from ‘natural factors of production,’ but ... from each other,” and he proved the coexistence of equilibrium and expansion using the saddle-point topology of convex sets. Some of his assumptions – such as that “the natural factors of production, including labour, can be expanded in unlimited quantities” and that “all income in excess of necessities of life will be reinvested” – appeared unrealistic to others at the time, less so now that Moore’s Law and the zero-cost replication of information are driving the economy of today. Other assumptions, such as an invariant financial clock cycle, are conservative under the conditions now in play.
Von Neumann, who made seminal contributions to digital computing, left a number of distinct monuments to his abbreviated career, among them his Theory of Games and Economic Behavior (with Oskar Morgenstern) and his Theory of Self-Reproducing Automata (with Arthur Burks). Synthesis between these two regimes is now advancing so quickly that no unified theory of the economics of self-reproducing systems has been able to keep up. Periodic instability should come as no surprise. We may be on the surface of a balloon. Or in the saddle of a dynamic equilibrium – we hope.
The Cobham catalog, exposed by The Intercept, features countless pages of surveillance gadgets sold to U.S. police to spy on American citizens: tiny black boxes with a big interest in you. In the creepily bland feature lists and nerdy product names is a whisper of a dark future; perhaps darker than anyone can imagine.
This image depicts the most commonly-found stylesheet colors on the web’s top sites—Paul Hebert did an amazing amount of analysis and this is just one of the intriguing visualizations he came up with. Most of these are obvious staples, especially HTML red and blue, though it’s interesting how far the blue “cluster” is from the […]
With the cacophony of an election year ablaze with unparalleled drama being fought on the front lines of Twitter, we find ourselves slowing down and staring at it like a bad accident. The need for escapist relief is perhaps more dire than usual right now. This fall, if it’s drama you crave, but the Hillary […]
Geek Fuel is a subscription delivery service that caters to those of us that love comics, gaming, and general geek culture. Every month, Geek Fuel will assemble a box of goodies with a value of $50 or over. The specific items are a mystery, but you’ll always get an exclusive t-shirt not found anywhere else, a full […]
If you like to DIY and you like helicopters, you’re going to really love the Flexbot Hexacopter Kit. This copter blows traditional models out of the water: it includes everything you need to actually build your own hexacopter, and then pilot it like a pro, too.The construction is complicated enough to give you a challenge, […]
This week’s top deals from the Boing Boing Store range from lobster to wine to desk organization. 1. Get Maine Lobster (50% Off)With these discounted packages from Get Maine Lobster, you can experience the sweet, fresh flavor of world-renowned Maine lobster right at your own dinner table. There are four options to choose from, each at […]