(Ir)rational explorers in the financial jungle

Financial Fragility with Rational and Irrational Exuberance

This article formalizes investor rationality and irrationality, exuberance and apprehension, to consider the implications of belief formation for the fragility of an economy’s financial structure. The model presented generates a financial structure with portfolio linkages that make it susceptible to contagious financial crises, despite the absence of coordination failures. Investors forecast th...

Equilibrium in the Jungle Equilibrium in the Jungle *

In the jungle, power and coercion govern the exchange of resources. We study a simple, stylized model of the jungle that mirrors an exchange economy. We define the notion of jungle equilibrium and demonstrate that a number of standard results of competitive markets hold in the jungle. JEL Classification: C7, D4, S477, B201

Computation in the Informatic Jungle

Informatics bridges Turing-computation and interactive behaviour; examples of the latter include ubiquitous/pervasive and biological systems. But how does a model of computation fit within a model of less disciplined informatic behaviour? This paper offers a precise treatment of that relationship, identifying a class of calculational bigraphical reactive systems. We show how such a system conta...

Driving in the Jungle

The Speluncean Explorers--Further Proceedings

Lon L. Fuller's The Case of the Speluncean Explorers is a classic in jurisprudence. The case presents five judicial opinions which clash with each other and produce for the reader an exhilarating excursion into fundamental theories of law and the state and the role of courts vis-i-vis legislatures and executives. Though the issues articulated by Fuller are timeless, the past thirty years in jur...