"More than anything else technology creates our world. It creates our wealth, our economy, our very way of being," says W. Brian Arthur. Yet despite technology's irrefutable importance in our daily lives, until now its major questions have gone unanswered. Where do new technologies come from? What constitutes innovation, and how is it achieved? Does technology, like biological life, evolve? In this groundbreaking work, pioneering technology thinker and economist W. Brian Arthur answers these questions and more, setting forth a boldly original way of thinking about technology.
"The Nature of Technology "is an elegant and powerful theory of technology's origins and evolution. Achieving for the development of technology what Thomas Kuhn's "The Structure of Scientific Revolutions "did for scientific progress, Arthur explains how transformative new technologies arise and how innovation really works. Drawing on a wealth of examples, from historical inventions to the high-tech wonders of today, Arthur takes us on a mind-opening journey that will change the way we think about technology and how it structures our lives. "The Nature of Technology "is a classic for our times.

A new view of the economy as an evolving, complex system has been pioneered at the Santa Fe Institute over the last ten years, This volume is a collection of articles that shape and define this view?a view of the economy as emerging from the interactions of individual agents whose behavior constantly evolves, whose strategies and actions are always adapting.The traditional framework in economics portrays activity within an equilibrium steady state. The interacting agents in the economy are typically homogenous, solve well-defined problems using perfect rationality, and act within given legal and social structures. The complexity approach, by contrast, sees economic activity as continually changing?continually in process. The interacting agents are typically heterogeneous, they must cognitively interpret the problems they face, and together they create the structures?markets, legal and social institutions, price patters, expectations?to which they individually react. Such structures may never settle down. Agents may forever adapt and explore and evolve their behaviors within structures that continually emerge and change and disappear?structures these behaviors co-create. This complexity approach does not replace the equilibrium one?it complements it.The papers here collected originated at a recent conference at the Santa Fe Institute, which was called to follow up the well-known 1987 SFI conference organized by Philip Anderson, Kenneth Arrow, and David Pines. They survey the new study of complexity and the economy. They apply this approach to real economic problems and they show the extent to which the initial vision of the 1987 conference has come to fruition.

A new view of the economy as an evolving, complex system has been pioneered at the Santa Fe Institute over the last ten years, This volume is a collection of articles that shape and define this view--a view of the economy as emerging from the interactions of individual agents whose behavior constantly evolves, whose strategies and actions are always adapting.The traditional framework in economics portrays activity within an "equilibrium "steady state. The interacting agents in the economy are typically homogenous, solve well-defined problems using perfect rationality, and act within given legal and social structures. The complexity approach, by contrast, sees economic activity as continually changing--continually "in process." The interacting agents are typically heterogeneous, they must cognitively interpret the problems they face, and together they create the structures--markets, legal and social institutions, price patters, expectations--to which they individually react. Such structures may never settle down. Agents may forever adapt and explore and evolve their behaviors within structures that continually emerge and change and disappear--structures these behaviors co-create. This complexity approach does not replace the equilibrium one--it complements it.The papers here collected originated at a recent conference at the Santa Fe Institute, which was called to follow up the well-known 1987 SFI conference organized by Philip Anderson, Kenneth Arrow, and David Pines. They survey the new study of complexity and the economy. They apply this approach to real economic problems and they show the extent to which the initial vision of the 1987 conference has come to fruition.

In The Nature of Technology, ground-breaking economist W. Brian Arthur explores the extraordinary way in which the technology that surrounds us and allows us to live our modern lives has actually been developed. Rather than coming from a series of one-off inventions, almost all the technology we use today comes from previous developments: these technologies are not being created, but are instead evolving. With fascinating examples, from laser printers to powerplants, Arthur reveals how our own problem-solving skills and creative vision can evolve alongside these technologies, and how this understanding can even improve our understanding of the wider world.