Creative Dynamics and Entangled Political Economy
37 Pages Posted: 3 Dec 2020 Last revised: 24 Feb 2021
Date Written: October 20, 2020
This paper explores the relationship between two recently advanced research programs: the Creative Dynamics and the Entangled Political Economy. The two frameworks share some significant commonalities: both approach coordination as a process and not as a state, both focus on explanation as opposed to prediction, both work with open-ended models, and both follow the Hayekian tradition of treating knowledge as subjective, dispersed, and in need of discovery. However, the connection between the two approaches is not always clear as they seem to be created for different goals. Creative Dynamics is focused primarily on explaining novelty. Entangled Political Economy seeks to offer a uniform approach to understanding social coordination, treating political and economic activities as more similar than different. My paper serves three purposes. First, I provide a primer on the two distinct theories. Second, I explore their shared origins and common features. Third, I sketch three possible directions for future research.
Keywords: evolutionary economics, complexity economics, creative dynamics, entangled political economy, entrepreneurship, epistemic institutions
JEL Classification: A11, B25, L26
Suggested Citation: Suggested Citation