Fallibility, reflexivity, and the human uncertainty principle. George Soros*. Soros Fund Management and the Open Society Foundations, New York, NY, USA. When I first read The Alchemy of Finance by George Soros, I thought his “theory of reflexivity” was absurd. It seemed to be an ex post facto. In epistemology, and more specifically, the sociology of knowledge, reflexivity refers to circular . Economic philosopher George Soros, influenced by ideas put forward by his tutor, Karl Popper (), has been an active promoter of the.

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His description however lacks a mechanism. George was very curious about markets and really enjoyed testing his ideas to try and figure out how they worked. London and Beverly Hills: A reflexive relationship is bidirectional with both the cause and the effect affecting one reflexiviry in a relationship in which neither can be assigned as causes or effects.

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Reflexivity (social theory)

George Soros wrote the book The Alchemy of Financ e and it acts as somewhat of an autobiography to his investing days, an experiment from his investing days when he was running the Quantum Fund, and his theories about markets — including his theory of reflexivity. Because the pattern is self-reinforcing, markets tend towards disequilibrium.

Rooted in literary criticism and philosophical analysis of the relationship of anthropologist, representations of people in texts, and the people represented, this approach has fundamentally changed ethical and methodological approaches in anthropology. Social Dramas and Stories about Them. Then comes a period of acceleration BC when the trend is recognized and reinforced by expectations.


Lists Anthropologists by nationality Anthropology by year Bibliography Journals List of indigenous peoples Organizations. This makes the collective thinking of all humans in the market effect stock prices and the results of their thoughts on stock prices further affects how market participants view stock prices.

Margaret Archer has written extensively on laypeople’s reflexivity. Economist and former columnist of the Financial Times, Anatole Kaletskyargued that Soros’ concept of reflexivity is useful in understanding the way in which Western analysts believe that China’s “economy is not only slowing, but falling off a cliff.

The same process can operate in reverse leading to a catastrophic collapse in prices. Recognizing the flaws that are likely to appear when a hypothesis is becoming a reality puts you ahead of the game. Annual Review of Anthropology.

Reflexivity has been taken up as the issue of “reflexive prediction” in economic science by Grunberg and Modigliani and Herbert A.

Reflexivity has emerged as both an issue and a solution in modern approaches to the problem of structure and agencyfor example in the work of Anthony Giddens in reeflexivity structuration theory and Pierre Bourdieu in his genetic structuralism. Eventually a crossover point G is reached when the trend turns down and prices lose their last prop.

Fundamental analysis is used to feorge and find the underlying value of a security based on economic, financial, and other qualitative and quantitative factors but if you only use this method then you would have been shocked to see internet stocks approach levels of over times earnings during the NASDAQ bubble in InSoros funded the launch of the Institute for New Economic Thinking with the hope that it would develop reflexivity further. This leads to the metaculture of conventions about managing and reflecting upon culture.


The problem is sorso more difficult in the social sciences. I knew that I did not act on the basis of knowledge; I was acutely aware of uncertainty and I was refkexivity on the lookout for mistakes.

A high level of social reflexivity would be defined by an individual shaping their own norms, tastes, politics, desires, and so on. The principle of reflexivity was perhaps first enunciated by the sociologists William I. Learn how your comment data is processed. A tree is objective and is a part of physical teorge. Anthropologists by nationality Anthropology by year Bibliography Journals List of indigenous peoples Organizations.

Reflexivity (social theory) – Wikipedia

Reflexivity presents a problem for science heorge if a prediction can lead to changes in the system that the prediction is made in relation to, it becomes difficult to assess scientific hypotheses by comparing the predictions they entail with rfflexivity events that actually occur. Short on knowledge, I relied heavily on the pain mechanism.

Bigger issues may even arise when the central banks make mistakes because their policies affect markets the most and in addition they seem to forget how fallible they actually are.

Behavioral economics focuses on only half of the geflexivity process: In the initial stage ABa new positive earning trend is not yet recognized.