4-Dimensional Economics

The issue of the dimensionality of economy has taken something of a back-seat in recent years, due to economic crisis. I believe that this is a mistake, because the solution to the worlds problem lie in the resolution of the world's economic dimensionality. But what is the dimensionality of economics?

At present there are three dimensions to the world economic system; the stock market, the futures market and the commodities themselves. Given that the collapse of the global financial markets was precipitated and exasperated by the Futures Market, it is clear that this tri-part system is unbalanced. To visualise what I mean, think of the current global economy as like Del Boy Trotter's Reliant Robin (a total disaster). What we need to do is to up grade our system. In other words, we need to go from this;

Is this really Mission Impossible? Not if we approach the task from the 4th dimension, its not.

Most of what occurs on a day to day basis in economies happens in the 1-dimensional realm of the commodities market. This realm is one dimensional because it utilises real numbers only. Real numbers are the ordinary numbers (like 1,2,3...) that we use everyday, and extend in a left to right direction along the number line, and as such only have one dimension of freedom.

Economists have speculated that the value assigned to commodities by the stock markets represent a second dimension that can be simulated through the use of complex number systems.

The addition of imaginary numbers and the complex plane, gives economists a second dimension, and therefore more freedom of movement.

As for what the 3rd dimension of the global economy could be, one can only speculate. By this token, I believe that the 3rd economic dimension to be the Hedge Funds or Futures Markets, in which the worth of a commodity is no longer tied to its vertical trending in the stock markets, but rather to the 'sideways' or horizontal motion of the Futures market.

Now that we have discussed the 3 different dimensions of the Global Economy, you might be forgiven for thinking that we have also reached a kind of 3d space, that provides the markets with greater freedom. But, this is not so. To do this with any degree of satisfaction, we need to multiply the total value of the three markets, at any given time, by one another, like so;

The issue of the dimensionality of economy has taken something of a back-seat in recent years, due to economic crisis. I believe that this is a mistake, because the solution to the worlds problem lie in the resolution of the world's economic dimensionality. But what is the dimensionality of economics?

At present there are three dimensions to the world economic system; the stock market, the futures market and the commodities themselves. Given that the collapse of the global financial markets was precipitated and exasperated by the Futures Market, it is clear that this tri-part system is unbalanced. To visualise what I mean, think of the current global economy as like Del Boy Trotter's Reliant Robin (a total disaster). What we need to do is to up grade our system. In other words, we need to go from this;

Del's Reliant Robin.

To this;

The new BMW i8, from Mission Impossible 4.

Most of what occurs on a day to day basis in economies happens in the 1-dimensional realm of the commodities market. This realm is one dimensional because it utilises real numbers only. Real numbers are the ordinary numbers (like 1,2,3...) that we use everyday, and extend in a left to right direction along the number line, and as such only have one dimension of freedom.

*... a stock price is a complex number, with a real portion and an imaginary portion.*

*The *real* portion corresponds to the fundamentals, the ... dividends.*

*The *imaginary* portion corresponds to the concept of image value*

http://pgreenfinch.pagesperso-orange.fr/ebf-fun.htm

The addition of imaginary numbers and the complex plane, gives economists a second dimension, and therefore more freedom of movement.

As for what the 3rd dimension of the global economy could be, one can only speculate. By this token, I believe that the 3rd economic dimension to be the Hedge Funds or Futures Markets, in which the worth of a commodity is no longer tied to its vertical trending in the stock markets, but rather to the 'sideways' or horizontal motion of the Futures market.

Now that we have discussed the 3 different dimensions of the Global Economy, you might be forgiven for thinking that we have also reached a kind of 3d space, that provides the markets with greater freedom. But, this is not so. To do this with any degree of satisfaction, we need to multiply the total value of the three markets, at any given time, by one another, like so;

**Commodities market (multiplied by) the Stock Markets (multiplied by) the Futures market = 3d market space**

This number, which describes the total wealth production of the planet at any given instance (cubed), is potentially a very large number indeed. To take this quantity into the 4th dimension, all we need to do is take in account the factor of time (Time is Money)*. Quaternions, a forth dimensional algebra set, might be useful in this regard. Alternatively, we could just combine the constant stream of data by a process of addition, creating a vast store of wealth very quickly. Unfortunately, none of this wealth would be accessible to us, as it is either already being utilised in the market place or only exists as a value in the past. Therefore, all we can hope to do, is to envisage this information as like the Earth's bank statement and to begin to skim the interest off the top; which would be considerable, even at low estimates.

This money could then be used to recapitalise the banks and restore consumer confidence in the system, as a whole. This, or something very much like this, must be implemented if we are serious about getting a quick recovery going.

*Ultimately, the 4th dimension of the economy is the interest accrued by wealth over time. Interest has been fundamental principal of Western Banking since it was introduced by the Knights Templars, over 900 years ago.

## No comments:

## Post a Comment