A strategy guide for a true socioeconomic ecosystem

How blockchain could help us build an operating system for a new Internet of value

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Photo by bert sz on Unsplash

Born out of a defense project in the 60s, the Internet started to take the shape we’ve grown accustomed to in the 90s. The Tech bubble burst around the corner of the millennium, reshuffling the sector and opening it to popularize the achieved progress and innovation. This is after all the technology cycle I have described in my previous articles.

Nevertheless, we are still in the infancy of the Internet, akin to a language learner bragging about the new curse words he has learnt. …


How development paradigms on the Asian theatre are reshaping our global order

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Photo by C Dustin on Unsplash

This is not a story of politics, despite the latter being necessary for context. The recent Armenian concession of the Azerbaijani governance over Nagorno-Karabakh has ramifications beyond being an overcoming of an impasse in the EU’s plan to diversify its natural gas supply. The quick resolution of the decades old Caucasian crisis marks the trend of suprastates shaping the global order.

Turkey’s Ventures

Turkey carries a heritage of diversity, exhibiting Turkic, Germanic, Caucasian — including Armenian — Indian, Arabian and numerous other ethnicities amongst its citizens. …


Considering historical lessons for redesigning our governments

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Photo by Thomas Kelley on Unsplash

In considering mesoeconomics, we have set the stage for purpose-driven businesses. In revisiting them and their thorough definition, we have established that such an economy built upon relational connections allows for defining diffuse borders. In essence, it presents the opportunity for a data-driven framework of designing interstate exchanges. We start by stating historic examples of isolationism.

Let us start by recalling that the model of self-sufficient country has proven to be ill-fated. 鎖国, meaning closed country, was phased out of imperial Japan, where the term is read as “Sakoku”, in the 19th century. …


A more rigorous definition of the overlooked scale

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Photo by Clay Banks on Unsplash

If we were to reimagine states beyond the nation-state paradigm currently dominating — and we need to in order to avoid eminent crises — we should redefine the underlying systems of a state. I have introduced the risks inherent in the current currency markets, as well as the opportunity digital currencies present for achieving a true relation between transactions and money in the last two stories, “Burning a Nation’s Cash” and “National Currencies Need Not Be a Ponzi Scheme”.

I revisit the concept of macroeconomics to give it a more thorough definition. One characteristic of defining the economy with such fluidity as this paradigms allows is the possibility of defining diffuse borders. …


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Photo by Annie Spratt on Unsplash

As the Lebanese cautiously rejoiced their national currency recovering more than 20% of its value against the United States Dollar, Harvard fellow and former banker Dan Azzi announced on Twitter that the Lira market is being manipulated with a massive, unnatural injection of the dollars.

Dan Azzi tweets “Lira market being manipulated with a massive, unnatural injection of $” following the sharp recovery of the LBP/USD exchange rate accompanying the reappointment of a former Prime Minister.

A back of envelope calculation made its way into the replies. Assuming a $7 million daily market, injecting $2 million dollars daily with the willingness to lose 20% of its value could have been pushing exchange rate. …


Arriving at an alternative monetary system

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A firefighter catches his breath in front of the burning shop in Beirut, Lebanon [2020]. Image by Annahar.

A Lebanese poultry shop most famous for its broiled chicken was caught in the flames less than a month ago. Rumors quickly surfaced that it had been a case of arson by competitors, as the shop had been able to tame its prices amidst a national currency devaluation. Hawa Chicken has indeed been able to keep its prices nearly 30% lower than other prominent poultry brands. To avoid creating a black market for its products, it has also enforced a cap on the quantities each customer purchased.

Wherever the initial spark came from, the line of thought of the public, along with the inflation rates which have surpassed currency devaluation rates, give us a little more insight on our terms with money. Most prominently, the fact that exorbitant prices have been maintained in light of over 20% recovery by the Mediterranean nation’s currency is revealing. …


The role of the government is to provide a trampoline, not a safety net.

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Photo by Ozgur Kara on Unsplash

The role of the government is to provide a trampoline, not a safety net. Now the Senior Minister of Singapore, Tharman Shanmugaratnam was serving as the Deputy Prime Minister when he introduced the notion in an interview with BBC’s Sackur.

The discussion of social safety nets frequently gets the spotlight in Singaporean politics. However, this notion was intentional to counter the common understanding of the concept. While the notion has been criticized for its shortsightedness regarding the falling back of citizens, as in this Business Times article, it gets the point across. …


The remaining pillar of the “Need” economy

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An international student sits atop Macy’s tower observing the buildings fading in the distance, San Fransisco, CA. (2016). [Image by author]

Rather than focusing on the dynamics of a singular particle, or the overall system, we study the relational actions between groups of constituents. This is the mesoscale.

In relations to others, we see that the role of a business is to fulfill an unmet need. Businesses which thrive on wants are short-lived. They lose their clients as soon as the latter are able to identify their needs.

This is not to say that you should build food supply chains, and leave out publishing houses, for seeking knowledge is a human need. Despite the critique on it being ethnocentric or illustrating inaccurate hierarchy, Maslow’s pyramid makes a point of a human needing beyond what has been considered “essential” during the days of the lockdown. …


The underlying structure allowing us to probe the economy over the lattice

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Photo by Tim Trad on Unsplash

The mesoscale offers the alternative view of the economy we need. It breaks through the limiting focus on the details inherent in the microscale. While this allows to study collective behavior higher up in the cascade, it avoids getting blindfolded and chained by over-structuring, a characteristic of macroeconomics.

I have motivated adopting a lattice representation for understanding the economy in a previous article. The uniformity of the lattice, and the aggregate representation it carries, generally make dealing with the detailed dynamics of an institution, or a country, challenging. …


We’re all living in a lattice

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Complex forms are shown to arise from simple rules connecting nodes by Wolfram Physics Project (2020).

Understanding the economy as an emergent phenomena is an extension of viewing the value of money as transactional. I proposed a framework, the energy-entropy-information nexus, for understanding multiscale phenomena in complex systems.

The lattice Boltzmann method solves this exact same problem of describing emergent phenomena by starting from describing particles. While it has been adopted by various fields, the method arose for gas simulations, and is most notable for taking the famous Navier-Stokes equations of fluid dynamics heads on.

The method is the successor of the lattice gas automata, part of the larger cellular automata family. Cellular automata describes the dynamics of discrete particles over uniform boxes, called cells. …

About

Wael Itani

I am an engineer based in Beirut. I write on multiscale, and I write with metaphors.

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