On the Extraordinary Importance of Complexity

Of all physical quantities, energy is probably the most important. Energy expresses the capacity of a body or a system to perform work. Nature works by using energy to transform matter. This is done via processes (physical, chemical, etc.). However, in order to realize these processes it is necessary to have information. Energy on its…

On the Complexity of Dynamics and the Dynamics of Complexity

When talking of derivatives and other sophisticated financial products, people often say that they are complex, that they have complex dynamics. But what does that really mean? When is dynamics complex? What does complex mean? A layman’s definition of complex is difficult to grasp, to understand, to control, to forecast. While mathematically speaking things a…