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The O-Ring Theory of Economic Development (1993)

26 pointsby nvaderover 1 year ago

2 comments

defrostover 1 year ago
Kremer, M. (1993). <i>The O-Ring Theory of Economic Development.</i><p><i>The Quarterly Journal of Economics</i>, 108(3), 551–575. doi:10.2307&#x2F;2118400<p><a href="https:&#x2F;&#x2F;sci-hub.ru&#x2F;10.2307&#x2F;2118400" rel="nofollow noreferrer">https:&#x2F;&#x2F;sci-hub.ru&#x2F;10.2307&#x2F;2118400</a><p>Sci-Hub, largely a one person venture, delivers information to millions across the planet while undercutting a paid journal model that seeks to profit by gatekeeping research much of which is socially funded.<p>The linked paper by Kremer appears to focus on high quality production chains with near zero tolerance for failure (the O-Ring that brough down a space shuttle) and treats this with the usual economic modelling tools.<p>I can&#x27;t say I&#x27;ve ever been happy with those tools modelling actual real life humans - they do such interesting out of band things such as start Sci-Hub or choose to work on difficult demanding projects for &quot;the challenge&quot; moreso than &quot;hyper rational economic reasons&quot; that maximise returns.
Tychoover 1 year ago
Saw someone use this for an explanation of why the German economy is so competitive. High concentration of industrial excellence, with all the factors needed to sustain it.
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