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by thriftwy 726 days ago
At this point you could just simulate complete economies on a PC.

A medium sized country has 10M people doing ten transactions per day on average. Why have mathematical models when you only ever need to add and subtract.

1 comments

Adding and subtracting are insufficient for models that are probabilistic and have interconnected dependencies (graphs).
It may be probabilistic in tx matching but you can simulate every transaction precisely.

Not sure I understand the latter argument.

To add to what to the other poster said, and to help explain, also were you influenced in buying blueberries because of what other people did in your graph?
I don't think we have sufficient models as to why each transaction happens or not. For example, why did someone buy blueberries instead of raspberries?
That's only tangentially related to economics. There are no economic reasons why I prefer TBS to FPS games.
That is what economics is about in no small part: preferences, their pricing and expression.

The pure movement of money isn't particularly interesting.

The pure movement of money is interesting as long as we have economic crashes happening from time to time that we don't predict.

Preferences and pricing is marketing, not purely economics.