Story perspectives

Revolutionary Economic Model Aims to Transform Decision-Making

2/12/2026

Summary

Story summary

Professor Doyne Farmer is developing a new economic model that treats every company as an agent making simple-rule decisions.
The model aims to yield clearer forecasts and address traditional models that assume rationality and equilibrium.
Farmer says the approach could transform economic planning, similar to how Google Maps transformed traffic management.
He stresses urgency amid the climate crisis and seeks to democratize decision-making to prioritize social and ecological needs over profit maximization.

History

Historical Context

John Maynard Keynes published "The General Theory of Employment, Interest, and Money" in 1936, fundamentally altering economic thought during the Great Depression, when U.S. unemployment reached 25%. His advocacy for government intervention challenged classical economics, emphasizing aggregate demand's role in employment. Today, Professor Doyne Farmer's model seeks to democratize economic decision-making, reflecting Keynesian principles amid contemporary ecological challenges.

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Story summary

Professor Doyne Farmer is developing a new economic model that treats every company as an agent making simple-rule decisions.
The model aims to yield clearer forecasts and address traditional models that assume rationality and equilibrium.
Farmer says the approach could transform economic planning, similar to how Google Maps transformed traffic management.
He stresses urgency amid the climate crisis and seeks to democratize decision-making to prioritize social and ecological needs over profit maximization.

1 / 2