The foundations of computable general equilibrium theory

general equilibrium theory,CGE models,mathematical economics,computability,constructivity

From truth to computability II

Computability logic is a formal theory of computational tasks and resources. Formulas in it represent interactive computational problems, and "truth" is understood as algorithmic solvability. Interactive computational problems, in turn, are defined as a certain sort games between a machine and its environment, with logical operators standing for operations on such games. Within the ambitious program of finding axiomatizations for incrementally rich fragments of this semantically introduced logic, the earlier article "From truth to computability I" proved soundness and completeness for system CL3, whose language has the so called parallel connectives (including negation), choice connectives, choice quantifiers, and blind quantifiers. The present paper extends that result to the significantly more expressive system CL4 with the same collection of logical operators. What makes CL4 expressive is the presence of two sorts of atoms in its language: elementary atoms, representing elementary computational problems (i.e. predicates, i.e. problems of zero degree of interactivity), and general atoms, representing arbitrary computational problems. CL4 conservatively extends CL3, with the latter being nothing but the general-atom-free fragment of the former. Removing the blind (classical) group of quantifiers from the language of CL4 is shown to yield a decidable logic despite the fact that the latter is still first-order. A comprehensive online source on computability logic can be found at http://www.cis.upenn.edu/~giorgi/cl.htm

The Fundamental Theorems of Welfare Economics, DSGE and the Theory of Policy - Computable & Constructive Foundations

The genesis and the path towards what has come to be called the DSGE model is traced, from its origins in the Arrow-Debreu General Equilibrium model (ADGE), via Scarf's Computable General Equilibrium model (CGE) and its applied version as Applied Computable General Equilibrium model (ACGE), to its ostensible dynamization as a Recursive Competitive Equilibrium (RCE). It is shown that these transformations of the ADGE - including the fountainhead - are computably and constructively untenable. The policy implications of these (negative) results, via the Fundamental Theorems of Welfare Economics in particular, and against the backdrop of the mathematical theory of economic policy in general, are also discussed (again from computable and constructive points of view). Suggestions for going 'beyond DSGE' are, then, outlined on the basis of a framework that is underpinned - from the outset - by computability and constructivity considerationsComputable General Equilibrium, Dynamic Stochastic General Equilibrium, Computability, Constructivity, Fundamental Theorems of Welfare Economics, Theory of Policy, Coupled Nonlinear Dynamic

O-Minimal Hybrid Reachability Games

In this paper, we consider reachability games over general hybrid systems, and distinguish between two possible observation frameworks for those games: either the precise dynamics of the system is seen by the players (this is the perfect observation framework), or only the starting point and the delays are known by the players (this is the partial observation framework). In the first more classical framework, we show that time-abstract bisimulation is not adequate for solving this problem, although it is sufficient in the case of timed automata . That is why we consider an other equivalence, namely the suffix equivalence based on the encoding of trajectories through words. We show that this suffix equivalence is in general a correct abstraction for games. We apply this result to o-minimal hybrid systems, and get decidability and computability results in this framework. For the second framework which assumes a partial observation of the dynamics of the system, we propose another abstraction, called the superword encoding, which is suitable to solve the games under that assumption. In that framework, we also provide decidability and computability results

The Computational Complexity of Propositional Cirquent Calculus

Introduced in 2006 by Japaridze, cirquent calculus is a refinement of sequent calculus. The advent of cirquent calculus arose from the need for a deductive system with a more explicit ability to reason about resources. Unlike the more traditional proof-theoretic approaches that manipulate tree-like objects (formulas, sequents, etc.), cirquent calculus is based on circuit-style structures called cirquents, in which different "peer" (sibling, cousin, etc.) substructures may share components. It is this resource sharing mechanism to which cirquent calculus owes its novelty (and its virtues). From its inception, cirquent calculus has been paired with an abstract resource semantics. This semantics allows for reasoning about the interaction between a resource provider and a resource user, where resources are understood in the their most general and intuitive sense. Interpreting resources in a more restricted computational sense has made cirquent calculus instrumental in axiomatizing various fundamental fragments of Computability Logic, a formal theory of (interactive) computability. The so-called "classical" rules of cirquent calculus, in the absence of the particularly troublesome contraction rule, produce a sound and complete system CL5 for Computability Logic. In this paper, we investigate the computational complexity of CL5, showing it is $\Sigma_2^p$-complete. We also show that CL5 without the duplication rule has polynomial size proofs and is NP-complete

Levels of discontinuity, limit-computability, and jump operators

We develop a general theory of jump operators, which is intended to provide an abstraction of the notion of "limit-computability" on represented spaces. Jump operators also provide a framework with a strong categorical flavor for investigating degrees of discontinuity of functions and hierarchies of sets on represented spaces. We will provide a thorough investigation within this framework of a hierarchy of $\Delta^0_2$-measurable functions between arbitrary countably based $T_0$-spaces, which captures the notion of computing with ordinal mind-change bounds. Our abstract approach not only raises new questions but also sheds new light on previous results. For example, we introduce a notion of "higher order" descriptive set theoretical objects, we generalize a recent characterization of the computability theoretic notion of "lowness" in terms of adjoint functors, and we show that our framework encompasses ordinal quantifications of the non-constructiveness of Hilbert's finite basis theorem