Complex Adaptive Systems

In systems such as economies or stock markets, behavior often changes as a result of the behavior of others and of…

Power Law

Also known as Price’s Law, it states that half the output of a system is generated by a square root of the number of output generators. For…

Bottleneck

Speed of a system is determined by its biggest constraint.

Newton’s Laws

The law “an object moving in a straight line will continue to do so, unless acted upon…

Momentum

Linear Momentum of an Isolated System is Conserved:

Momentum = Mass x Velocity (vector quantities with size and direction)

Generally, Momentum describes how much a system resists an external force. An experienced investor managing $100 billion using his proven…

Margin of Safety

In systems with a critical measure at which the behaviour of the system changes…

Feedback loops

Feedback loops at the systemic level can be positive or negative. The system is likely to continually adjust to the loop, but may…

Evolution

If some individuals have a trait that allows them to better compete in a given environment, then they are more likely to survive into…