This paper re-defines three hypothetical laws of capital accumulation including endogenous rate of accumulation and capital-output ratio as state variables. An original non-linear relationship relates their growth rates. Other state variables are output per worker, employment ratio and relative labour compensation. A comprehensive Phillips equation, governing real labour compensation, is an element of the initial law (HL-1). HL-2 substitutes the former equation by a new one that reflects a long-term tendency of relative labour compensation to fall.
With the advent of Enterprise Resource Planning (ERP) systems, availability of data is no longer the bottleneck to decision making in many organizations. Instead the reverse seems to apply more frequently. Integrated organization-wide computer systems overwhelm managers with data to such an extent that it becomes difficult to assess relevance for managing operations. A number of methodologies attempt to help management to distill meaning from large amounts of data. These methodologies enable managers to identify multiple performance indicators and determine tradeoffs between effects of proposed improvements. Implementation of improvements however entails organizational change. Methodologies are commonly used in an expert mode, which makes them prone to many of the potential traps of change management, such as lack of commitment due to the not invented here syndrome. Alternative methodologies such as group model building enable problem owners to identify problems and combine knowledge and system data in solving these are available. In this paper we explore three group model building projects in an ERP context. We address the context in which the projects were carried out and the process of client participation and model construction. We describe effects in terms of end products, quality of solutions and outcomes of system changes.
Society is dependent upon electricity. In the last decade international scale outages have occurred with unfortunate regularity. While the impact of these outages has been limited to a few hours or days, they have been expensive and prompted fears that more severe failures could occur. While crises are perceived as events, their true origins come from the pre-crisis and post-crisis phases, where preparations and learning set the stage for the successful management of unusual events. A power crisis of a few weeks duration can set the policy agenda for many years. In this paper we describe a crisis model that captures the dynamic state of a power grid, the effects of failure on clients, government, and the public. The model was developed in concert with and validated by a panel of crisis managers. These factors combine to determine the post-crisis policies and socio-political factors that influence policy over much longer timeframes.
System Dynamics (SD) main aim is to study dynamic behavior of systems based on causal relations. The other purpose of the science is to design policies, both in initial values and causal relation, to change system behavior as we desire. Especially we are interested in making systems behavior a convergent one. Although now SD is mainly used in situations of single policy maker, there are major parts of situations in which there are multi policy makers playing role. Game Theory (GT) is an appropriate tool for studying such cases.GT is the theory of studying multi decision-maker conditions. In this paper we will introduce GT and explain how to apply it in SD. Also we will provide some examples of microeconomic systems and show how to use GT for studying and simulating dynamics of these example systems. We will also have a short discuss on how SD can help GT studies.