Level Two Chaos
Level two chaos is chaos that reacts to predictions about it, and therefore can never be predicted accurately. Markets, for example, are a level two chaotic system. What will happen if we develop a computer program that forecasts with 100 per cent accuracy the price of oil tomorrow? The price of oil will immediately react to the forecast, which would consequently fail to materialise. If the current price of oil is $90 a barrel, and the infallible computer program predicts that tomorrow it will be $100, traders will rush to buy oil so that they can pro
Notes:
Folksonomies: chaos probability
Taxonomies:
/education/school (0.596212)
/business and industrial/energy/oil/oil and gas prices (0.432343)
/science/geology/seismology/earthquakes (0.337892)
Keywords:
price (0.997656 (:0.000000)), oil (0.870209 (:0.000000)), Chaos Level (0.869080 (:0.000000)), infallible computer program (0.829231 (:0.000000)), price rise (0.732953 (:0.000000)), current price (0.730022 (:0.000000)), barrel (0.599895 (:0.000000)), cent (0.468699 (:0.000000)), predictions (0.465821 (:0.000000)), accuracy (0.456364 (:0.000000)), forecast (0.455984 (:0.000000)), example (0.454820 (:0.000000)), Markets (0.442174 (:0.000000)), result (0.441738 (:0.000000))
Entities:
$100:Quantity (0.010000 (:0.000000)), $90:Quantity (0.010000 (:0.000000))
Concepts:
Forecasting (0.949573): dbpedia_resource
Prediction (0.946791): dbpedia_resource
Future (0.904885): dbpedia_resource
Futurology (0.831917): dbpedia_resource
Reference class forecasting (0.825965): dbpedia_resource
Regression analysis (0.730652): dbpedia_resource
Chaos theory (0.718918): dbpedia_resource
Computer (0.701028): dbpedia_resource
Sapiens: A Brief History of Humankind