INFORMATION, ENTROPX PROGRESS
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1 INFORMATION, ENTROPX AND PROGRESS A NEW EVOLUTIONARY PARADIGM Robert U. Ayres The European Institute of Business Administration Fontainebleau, France AIP PFjgSS American Institute of Physics New York
2 Contents Foreword by R. Stephen Berry Preface Introduction: Evolution as Accumulation of Useful Information.. ix xi xiii Chapter 1: Concepts, Definitions, and Analogies Irreversibility and Equilibrium in Mechanics and Thermodynamics Entropy and the Second Law of Thermodynamics Irreversibility in Economics Thermodynamic Constraints in Economics Equilibrium, Steady State, and Chaos Order, Structure, and Organization Diversity and Complexity Biological Change: Development versus Evolution Ecosystem, Biosphere, and Gaia Myopia vs. Presbyopia; Selfishness vs. Altruism 20 References 23 Chapter 2: Information and Thermodynamics Theoretical Framework: What Is Information? Joint and Conditional Probabilities Information and Entropy Thermodynamic Information Survival-Relevant Information Summary 44 References 48 v
3 vi / CONTENTS Chapter 3: Physical Evolution: From the Universe to the Earth The Evolution of Matter From the First Picosecond to the Next Three Minutes From 3 Minutes to 1 Million Years Since the First Million Years Physical Evolution: Diversity, Complexity and Stability Physical Evolution and Information 66 References 71 Chapter 4: Geological and Biochemical Evolution Geological Evolution of the Earth Chemical Precursors to Organic Synthesis Digression: Other Unsolved Mysteries Self-Organization at the Chemical Level Self-Replication Genetic Reproduction as an Information Process 93 References 98 Chapter 5: Biological Evolution Primitive Organisms The Invention of Sexual Reproduction Evolutionary Mechanisms and Discontinuities Information and the Evolutionary Mechanism The Direction of Phylogenic Evolution A Digression on the Evolution of Consciousness Summary 119 References 122 Chapter 6: Evolution in Human Social Systems The Evolution of Cooperative Behavior Games and Rational Choice in Social Systems Static Equilibrium in Economics: The Free Market Quasi-Static (Homothetic) Growth in Economics Ontological Theories of Development 138 References 147 Chapter 7: Evolution in Economic Systems Evolution and Growth 151
4 CONTENTS / VÜ 7.2. The Problem of Economic Growth Revisited Schumpeter's Contribution: Radical Innovation Post-Schumpeterian Evolutionary Theories "Technological Breakthroughs" and Non-linear Dynamics Progress Functions (with K. Martinas) a. Micro-Foundations b. A Progress-Function for Firms c. Interpretation d. Concluding Remarks 174 References 180 Chapter 8: The Economy as a Self-Organizing Information- Processing System The Analogy with Living Systems The Economy as an Information-Transformation System Information Transformation and Value Added The Role of Labor The Role of Capital The Role of Money The Role of Technology The Role of Structure and Organization 207 References 213 Chapter 9: Information Added by Materials Processing Introduction Energy Conversion Cost of Refining Thermodynamic Analysis of Alternative Processes 222 References 224 Chapter 10: Morphological Information Surface Information: General Considerations Morphological Information Embodied in Manufactured Shapes Information of Orientation and Assembly The Relative Prices of Metabolic and Morphological Information The Principle of Minimum Morphological Information 244 References 247
5 viü / CONTENTS Chapter 11: Labor as an Information Process Ergonomie Background: The Worker as Information Processor Examples: Theory and Experiment Output of a Worker: Time and Motion Output of a Worker: Time and Information Output of a Worker: Motion and Information The Error/Defect Problem Errors and Information Overload Optimum Work Pace Value of Information Added by Labor 268 References 270 Chapter 12: Evolution, Economics, and Environmental Imperatives Recapitulation: Ideas of Equilibrium in Economics Brownian Motion or Gravitational Attraction? The Economic System and the Physical Environment Technological and Economic Evolution in Long-Term Perspective Concluding Thoughts and Speculations 286 References 290 Afterword by Allen V. Kneese 293 Index 296
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