David Orrell, a mathematician and writer who recently finished his doctoral studies at Oxford University, believes that the field of quantum theory is where economics will be heading in the near future.
When the principles of quantum physics are applied to economic modeling, similar predictive models can be utilized to simulate economic systems.
The Traditional Economy Is Not Sufficiently Complex
In an interview that took place not too long ago with The Quantum Insider, Orrell discussed how traditional economics, which is based on binary mathematics similar to that of classical computers, needs to possess the level of complexity that is necessary to represent the economy accurately.
The computations that are performed by traditional computers are carried out using bits. These serve the purpose of binary switches and are able to exercise control over software applications.
When it comes to quantum computing, bits are no longer used; instead, qubits are used. In the field of computing, bits can be in either an on or off state, whereas qubits have the remarkable ability to exist in a state that is either on or off, both on and off at the same time, neither on nor off at all, and neither on nor off at all at the same time.
It may appear to be a contradiction, but the study of quantum occurrences that operate beyond the limits of the traditional physics established by Sir Isaac Newton in the late 1600s led to the development of quantum mechanics.
As Orrell stated:
“A qubit is comparable to a range of colors, providing various tones and intricacies.” It’s more than just a binary choice. Qubits become intertwined, influencing each other and causing unpredictability when measured. This fundamental distinction is what distinguishes it. As previously stated, proving that models built on this concept can be lucrative and efficient is crucial.
It is not the case that Orrell is discussing quantum physics in relation to black holes and quantum computing hardware in this statement. On the other hand, he talks about the subject of calculus in the classroom as well as the fundamental mathematical frameworks that are used to analyze and forecast changes in the economy.
During an interview with The Quantum Insider, he explained that everything comes down to economics. He made it clear that he is not referring to anything that has to do with subatomic particles when he relates to the economy as an example of quantum economics.
Quantum Mathematical Models Will Expand the Possibilities of Economic Analysis
Orrell, an author who has a vast collection of publications on the economy, including “Quantum Economics: The New Science of Money,” is of the opinion that the utilization of quantum mathematical models is essential for maximizing the capabilities of economic analysis.
According to Orrell, the fundamental problem of consciousness is one of the obstacles that is preventing the widespread adoption of quantum economics. As a means of addressing this matter, he initiated the publication of his very own scientific journal, which he titled “Quantum Economics and Finance,” with the intention of encouraging further research in this rapidly expanding field.
When it comes to the field of economics, Orrell has a track record of being one step ahead of the competition in terms of both technology and mathematics. In the year 2018, he predicted that cryptocurrency would gain widespread acceptance. He stated that at that time, the digital currency was the financial system of the future, but he cautioned that “tomorrow might be a while away.”
