Regarding spontaneous order, another line of the discussion of
this matter going back into history has been discussed within the
Austrian context in a paper by the late Don Lavoie, "Economic chaos
or spontaneous order? Implications for political economy of the new
viw of science," Cato Journal, 1989, vol. 8, pp. 613-635. Lavoie was
influenced by Hayek in his discussion, citing both his 1967 paper on
complex phenomena (thus linking to an early strand of the economic
complexity literature) and also his 1948 book, Individualism and
Economic Order. In turn, Lavoie traced this idea of spontaneous
order back to Adam Smith, and Hayek regularly made such a linkage
himself, although it is also the case that Smith never used such
terminology himself to the best of my knowledge.
Obviously this is a somewhat complicated business, as many have
noted problems with this phrase, "spontaneous order," which leave it
open to a number of possible interpretations. I find some of the
examples discussed here problematic. Thus, while all situations have
constraints of some sort or other, I see spontaneous order as being
limited the stronger are the constraints, even if it might be
operative to some extent.
Thus, to go back to the example of traffic, I do not think it
is meaningful to talk about a "spontaneous order" when one is talking
about traffic flows within a fixed traffic network or system. As has
been noted, within such a system one often finds considerable
disorder in any meaningful sense, as at rush hours within many
metropolitan areas, although such flow patterns are amenable to
analysis by methods of complex sociophysics as in the current work of
Dirk Helbing, a student of Wolfgang Weidlich at Stuttgart.
I am more inclined to see spontaneous order in the longer run
formation of the traffic networks themselves. Off course in modern
societies such networks are generally eventually built or determined
by governmental entities, but their decisions often reflect earlier
patterns that are more spontaneous, especially regarding the routes
of major roadways, which may involve path dependence based on earlier
transportation patterns and routes, which can involve complicated
interrelationships between geographical peculiarities and the
evolution of the location of cities and economic activities. I think
in the US of the many interstate highway routes that parallel older
US highway routes, which in turn parallel much older Indian paths.
Likewise in the arguments about the evolution of money, the
commodity or commodities that might "spontaneously" emerge as regular
media of exchange often are ones widely in use within an economy,
although, depending on how one defines "money," such emerged
commodities may only become "full money" after some state becomes
involved as with the chartalist view, which then puts the process
more distinctly within some constraints.
Barkley Rosser
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