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Details summary of the book Simplexity - Essay Example

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The stock market crashed due to the United States financial director commenting that the international value of the German mark should not be…
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Details summary of the book Simplexity
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"Details summary of the book Simplexity"

Download file to see previous pages Kluger described that the stock market is basically very similar to a school of fish in that the behavior of stock owners is usually influenced from one to another. As one stock owner sells due to his tips, analyses, or gut feelings, many people follow suit because it appears to be the right thing to do. Other scientists, such and Blake LeBaron have a complex formula to describe stock behaviors that is very difficult to understand. This simple exercise emphasizes the difficulty in a single event to understand what is complex and simple. Kluger explains that the Sante Fe Institute is a think-tank designed for scientists to determine what defines simplicity and complexity regarding multiple issues that we take for granted in everyday life.
Chapter 2 begins with the story of Ed Schmitt, who was working at Tower Two of the World Trade Center on September 11, 2001. He watched as the first jet plane collided with Tower One and then recalled the chaos of people frantically cramming the stairwells to evacuate Tower Two. The management staff and Vice President made an announcement for all employees to seek shelter by remaining at their desks and this caused the deaths of thousands of people from Tower Two. Kluger attempts to show the complexity of the situation as people entered a state of chaos and worked to evacuate, even by disobeying the orders of business executives. The architecture, failures of emergency-predicting software, the concept of milling – or standing around to analyze the problem – all contributed to the problems these people faced, and none of them were simple problems. Scientists at the Sante Fe Institute compare the behavior of people during evacuation to that of water as it moves chaotically through a limited area to reach the opening at the end. Psychologists take into consideration the multiple thoughts that people ...Download file to see next pagesRead More
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