1. How is development modeled in Economics? Is the modelling any good?

2. Can complex adaptive systems help us in modelling development any better?

3. What is meant by a "system property" in a model?
4. Development as Freedom by Amartya Sen - Read
5. The consequences for human welfare involved in questions like these are simpl
y staggering: Once one starts to think about them, it is hard to think about any
thing else. - Robert Lucas
6. Thomas Thwaites?
7. Are the terms Economic Development and Economic Growth synonymous?
8. Harrod-Domar Growth Model. Output = F(capital,Labor) comes from here.
9. Rostow Model - savings impetus as a rationale of economic aid.
10. Robert Solow's model or the Neoclassical growth theory. Output = F(capital,L
abor, Technical Change). Is the technical change same as Solow's Residual or "To
tal Factor Productivity" Also, where does technical change comes from? Is this t
he same as knowledge?
11. Failures of these models in the 70s and 80s resulted in economists trying to
put the blame on economic policy (i.e. government). Emergence of the Washington
Consenus emerged from here.
12. Post-Washington Consenus: Instutional Governance is the key here. Now the qu
estion is: how does one change institutions? How does one prioritize which insti
tution to change?
13. Why Nations Fail - new book on poverty. Worth reading?
14. Is development endogenous?
15. Tim Harford - Adapt: Why Sucess always begins with failure. Read.
16. Steve Jones - Evolutionary biologist?
17. Complex Adaptive Systems - Introduced by "The origin of wealth" by Eric D. B
einhocker. Also, Ben Ramalingam's upcoming book. Read.
18. Economic Systems - complex and non-linear. Unlike economic models which are
modeled on linearity. Should we study non-linear econometric models instead?
19. Properties of complex adaptive systems:
1) butterfly effect
2) broad descriptive patterns of the system are possible
3) emergent properties?
4) adaptive systems tend to be complex and evolve into greater complexit
y over time
5) do not tend towards an equilibrium.
*SOUNDS LIKE CHAOS THEORY*
20. Is "development" an "emergent property" of a complex adaptive system called
an "economy"?
21. Lant Pritchett - isomorphic mimicry of economic institutions?
22. Dani Rodrik - one economics; manu recepies? Whats this?
23. Mirilee Grindle - governance?
24. Bill Easterly - planners to searchers?
25.
Policy Implications:
1. It is not easy to design economic planning because the economy is a complex a
dapative system.
2. Resist fatalism. Think of Norman Bourlag and the Green Revolution - complex a
daptive systems can be engineered!!!
3. Are there any characterisitic properties which encourage or dampen innovation
or evolution of economic systems? If
4. Should we embrace adaptation? How do design effective feedback systems in an
economy to encurage more and faster adaptation? What could be the pitfalls of su
ch a system? Economic or Human turmoil due to heavy industry failure perhaps? Th
is could also lead to the elimination of trade barriers.
5. Can we shape development? How does one reconcile economic adaption/evolution
with culutural norms?
6. Experimental development economics? Make small changes; not large systems.
7. Act global - *I did not understand this*

Conclusion:
1. Economics as complex adaptive systems
2. Development should learn how to change adpatation of economic systems in whic
h development in an emergent property.
3. Be humble. Approach economics with humility.