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The Crisis In The Economic Systems In Terms Of The Chaos Theory

Author

Listed:
  • Roxana Arabela Dumitraşcu

    (Bucharest Academy of Economic Studies)

  • Vadim Dumitraşcu

    ("Petre Andrei" University of Iaşi)

Abstract

The crisis begins when one or several variables of the economic system tend to move towards the borders of the "safety beach"; their behavior becomes unstable and abnormal, in other words, it becomes chaotic. The intensity of the installation of this abnormality increases and at some point becomes so great that manages to destabilize the entire economic system. On the basis of the system-business model we'll see how a rapid increase in sales can lead, after a period of time, to negative trends of other variables, causing eventually a descending trajectory (downward path) of the cash-flow and also a dangerous proliferation of various economic and financial risks.

Suggested Citation

  • Roxana Arabela Dumitraşcu & Vadim Dumitraşcu, 2009. "The Crisis In The Economic Systems In Terms Of The Chaos Theory," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 12(12(541)(s), pages 535-542, December.
    • Handle: RePEc:agr:journl:v:12(541)(supplement):y:2009:i:12(541)(supplement):p:535-542
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