Does anyone in here have an academic background in economics.

I’d like to publish a paper where by using the entropy functional I resolved the Allais paradox without modifying the axioms of game theory. This creates a formal methodology for choice under uncertainty (entropy) by including entropy with the utility functional.

Tested it on Bitcoin back in 2013, just didn’t have the derivation. Now I have the derivation.

Also forgot to mention this approach derives macroeconomics from game theory

Here’s a consequence of this that engineers will appreciate. Our economic activity is constrained by the second law of thermodynamics. For human interactions to occur spontaneously, e.g. without coercion, the entropy gradient has to be positive (think law of mass action but for people).

Socialism violates the second law...

It gets even more fun when you look at post modernism. Fun to mess with them, here’s how adopt a position of uniform knowledge. The moment there is any experience with that the definition is no longer subjective. Language comes from experience and the varriance approaches determinism proportional to 1/(n-1)

Reading @allenf ”Bitcoin is Venice” the role of language and shared experience in the context of quantifiable human interactions and how we reach consensus, it all clicked.

@Crabel @allenf
Amazing piece, the whole 3-part series is really great -- next-level long-read content.

Oh, you're on Mastodon! Amazing :)

Jordan Peterson recommended your blog about Venice, I read it and was like WOW. Then I read the other 2 and now I need to re-read the entire series one more time, slowly with like taking notes and thinking deeply -- this is a very serious material, I'm sure you spent a lot of time on it. Really deep and smart. Cheers!

@Crabel I don't so I can't help practically, but I'm very interested in this work. care to share?

@allenf the editor rejected this because he “didn’t like my tone” it passed peer review.

Need help with the economics, I can tie it in so far, but my knowledge and writing ability are limited. I’d love for someone to tell me I’m wrong and to show me where, but getting competent engagement is frustratingly difficult. It doesn’t help my writing sucks.

Before I had the theory worked out, I played around with the concept with the Bitcoin network.

Sign in to participate in the conversation
Bitcoin Mastodon

Bitcoin Maston Instance