Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
Challenge p.212 Business Dynamics, Sterman
Clone of Oil Shortage 1979 Iran Revolution
Insight diagram
Simulation of MTBF with controls

F(t) = 1 - e ^ -λt 
Where  
• F(t) is the probability of failure  
• λ is the failure rate in 1/time unit (1/h, for example) 
• t is the observed service life (h, for example)

The inverse curve is the trust time
On the right the increase in failures brings its inverse which is loss of trust and move into suspicion and lack of confidence.
This can be seen in strategic social applications with those who put economy before providing the priorities of the basic living infrastructures for all.

This applies to policies and strategic decisions as well as physical equipment.
A) Equipment wears out through friction and preventive maintenance can increase the useful lifetime, 
B) Policies/working practices/guidelines have to be updated to reflect changes in the external environment and eventually be replaced when for instance a population rises too large (constitutional changes are required to keep pace with evolution, e.g. the concepts of the ancient Greeks, 3000 years ago, who based their thoughts on a small population cannot be applied in 2013 except where populations can be contained into productive working communities with balanced profit and loss centers to ensure sustainability)

Early Life
If we follow the slope from the leftmost start to where it begins to flatten out this can be considered the first period. The first period is characterized by a decreasing failure rate. It is what occurs during the “early life” of a population of units. The weaker units fail leaving a population that is more rigorous.

Useful Life
The next period is the flat bottom portion of the graph. It is called the “useful life” period. Failures occur more in a random sequence during this time. It is difficult to predict which failure mode will occur, but the rate of failures is predictable. Notice the constant slope.  

Wearout
The third period begins at the point where the slope begins to increase and extends to the rightmost end of the graph. This is what happens when units become old and begin to fail at an increasing rate. It is called the “wearout” period. 
Clone of BATHTUB MEAN TIME BETWEEN FAILURE (MTBF) RISK
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of 3 variables-- EDIT Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
THE BROKEN LINK BETWEEN SUPPLY AND DEMAND CREATES TURBULENT CHAOTIC DESTRUCTION

The existing global capitalistic growth paradigm is totally flawed

Growth in supply and productivity is a summation of variables as is demand ... when the link between them is broken by catastrophic failure in a component the creation of unpredictable chaotic turbulence puts the controls ito a situation that will never return the system to its initial conditions as it is STIC system (Lorenz)

The chaotic turbulence is the result of the concept of infinite bigness this has been the destructive influence on all empires and now shown up by Feigenbaum numbers and Dunbar numbers for neural netwoirks

See Guy Lakeman Bubble Theory for more details on keeping systems within finite working containers (villages communities)

Clone of THE BROKEN LINK BETWEEN SUPPLY AND DEMAND CREATES CHAOTIC TURBULENCE (+controls)
Insight diagram
IM-168155 Summary of Ch 27 of Mitchell Wray and Watts Textbook see IM-164967 for book overview with simplified Mike Radzicki's 2003 Evolutionary Economics history article added
Clone of History of Economic Thought 2
Insight diagram
Simple tragedy ​of the commons behavior model.
Common Resources
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
From Jay Forrester 1988 killian lectures youtube video describing system dynamics at MIT. For Concepts See IM-185226. For more detailed biography See Jay Forrester memorial webpage For MIT HIstory see IM-184930
Clone of System Dynamics Applications
Insight diagram

Goodwin cycle IM-2010 with debt and taxes added, modified from Steve Keen's illustration of Hyman Minsky's Financial Instability Hypothesis "stability begets instability". This can be extended by adding the Ponzi effect of borrowing for speculative investment.

Clone of Clone of Minsky Financial Instability Model
Insight diagram
Simulation of MTBF with controls

F(t) = 1 - e ^ -λt 
Where  
• F(t) is the probability of failure  
• λ is the failure rate in 1/time unit (1/h, for example) 
• t is the observed service life (h, for example)

The inverse curve is the trust time
On the right the increase in failures brings its inverse which is loss of trust and move into suspicion and lack of confidence.
This can be seen in strategic social applications with those who put economy before providing the priorities of the basic living infrastructures for all.

This applies to policies and strategic decisions as well as physical equipment.
A) Equipment wears out through friction and preventive maintenance can increase the useful lifetime, 
B) Policies/working practices/guidelines have to be updated to reflect changes in the external environment and eventually be replaced when for instance a population rises too large (constitutional changes are required to keep pace with evolution, e.g. the concepts of the ancient Greeks, 3000 years ago, who based their thoughts on a small population cannot be applied in 2013 except where populations can be contained into productive working communities with balanced profit and loss centers to ensure sustainability)

Early Life
If we follow the slope from the leftmost start to where it begins to flatten out this can be considered the first period. The first period is characterized by a decreasing failure rate. It is what occurs during the “early life” of a population of units. The weaker units fail leaving a population that is more rigorous.

Useful Life
The next period is the flat bottom portion of the graph. It is called the “useful life” period. Failures occur more in a random sequence during this time. It is difficult to predict which failure mode will occur, but the rate of failures is predictable. Notice the constant slope.  

Wearout
The third period begins at the point where the slope begins to increase and extends to the rightmost end of the graph. This is what happens when units become old and begin to fail at an increasing rate. It is called the “wearout” period. 
Clone of Clone of Clone of BATHTUB MEAN TIME BETWEEN FAILURE (MTBF) RISK
Insight diagram
THE BROKEN LINK BETWEEN SUPPLY AND DEMAND CREATES TURBULENT CHAOTIC DESTRUCTION

The existing global capitalistic growth paradigm is totally flawed

Growth in supply and productivity is a summation of variables as is demand ... when the link between them is broken by catastrophic failure in a component the creation of unpredictable chaotic turbulence puts the controls ito a situation that will never return the system to its initial conditions as it is STIC system (Lorenz)

The chaotic turbulence is the result of the concept of infinite bigness this has been the destructive influence on all empires and now shown up by Feigenbaum numbers and Dunbar numbers for neural netwoirks

See Guy Lakeman Bubble Theory for more details on keeping systems within finite working containers (villages communities)

Clone of THE BROKEN LINK BETWEEN SUPPLY AND DEMAND CREATES CHAOTIC TURBULENCE (+controls)
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02
Insight diagram
THE BROKEN LINK BETWEEN SUPPLY AND DEMAND CREATES TURBULENT CHAOTIC DESTRUCTION

The existing global capitalistic growth paradigm is totally flawed

Growth in supply and productivity is a summation of variables as is demand ... when the link between them is broken by catastrophic failure in a component the creation of unpredictable chaotic turbulence puts the controls ito a situation that will never return the system to its initial conditions as it is STIC system (Lorenz)

The chaotic turbulence is the result of the concept of infinite bigness this has been the destructive influence on all empires and now shown up by Feigenbaum numbers and Dunbar numbers for neural netwoirks

See Guy Lakeman Bubble Theory for more details on keeping systems within finite working containers (villages communities)

Clone of THE BROKEN LINK BETWEEN SUPPLY AND DEMAND CREATES CHAOTIC TURBULENCE (+controls)
Insight diagram
An initial study of the economics of single use coffee pods.
Clone of Coffee Pods ISD Humanities v 1.02