FRACTAL ECONOMICS

If you are interested in a further explanation of inflation that adds to this, it may be found in the fractal; the geometry of chaos and the geometry of our time. The geometry of an economy is a fractal, and 'inflation' is akin to the fractal coastline paradox. The growth and development of fractals correspond directly to the marginal theory. The fractal demonstrates demand/utility curves and supply/ cost with equilibrium. A market is a fractal, a complex system built on simple rules that repeat at all scales. I have found that the fractal's growth over time is exponential and can produce a perfect Lorenz curve from the uneven distribution of its parts. The fractal's Gini increases with its growth, inextricably—just like the real economy. If an economy is assumed to have a fractal 'Inflation,' it may be akin to the coastline paradox of fractal mathematics. The length of the coastline is fractal and is determined by the length of the measuring stick. For an eco...

The Denomination Standard (as opposed to the 'gold standard'): regularity in currency through time and place. A unit of gold is said to (give and take a little) buy the same good through time - hence the gold standard. My hypothesis is: does the denomination 'size' of fiat money (currency) buy the same goods (as opposed to the nominal size, which will differ from time to time, place to place).  How many of the lowest paper notes does it take to buy 'x' good - my case a big mac. In the developed world, it generally costs around 2 of the lowest denomination notes for a McDonald's Big Mac (2012). Of course, the amount grows the less developed the country - Sri Lanka 29. A 'standard note' (thank you to my student Paul) may stand like a 'standing wave' over time and place; nominal prices will flow (rise) through it. Difficult to find a standard good, and there are lag times, of course, as notes stay in circulation for some time in stable e...

       Here, I hypothesise that price inflation is a fractal phenomenon equivalent to or a real-life example of the  coastline paradox .  The coastline paradox says the measurement of a coastline is related to the length of the 'measuring stick' being used: the shorter the measuring stick, the longer the coastline - right to infinity. I say the unit of money is the measuring stick, the coastline, the price of the object, and, therefore, the size of the economy. If the currency is decreased in value, the (nominal) size of the economy will exponentially increase (hyperinflate).  Veritasium: What Is The Coastline Paradox? Just what is inflation? Of course, we have the textbook answer, a general increase in the average price level - over time , but to be fractal, it must be a universal definition and go beyond the prices of goods. A fractal explanation must demonstrate the following - I am convinced that the general fractal does...