Production of the Schizoid, End of Capitalism and Laruelle’s Radical Immanence. Note Quote Didactics.

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These are eclectics of the production, eclectics of the repetition, eclectics of the difference, where the fecundity of the novelty would either spring forth, or be weeded out. There is ‘schizoproduction’ prevalent in the world. This axiomatic schizoproduction is not a speech act, but discursive, in the sense that it constrains how meaning is distilled from relations, without the need for signifying, linguistic acts. Schizoproduction performs the relation. The bare minimum of schizoproduction is the gesture of transcending thought: namely, what François Laruelle calls a ‘decision’. Decision is differential, but it does not have to signify. It is the capacity to produce distinction and separation, in the most minimal, axiomatic form. Schizoproduction is capitalism turned into immanent capitalism, through a gesture of thought – sufficient thought. It is where capitalism has become a philosophy of life, in that it has a firm belief within a sufficient thought, whatever it comes in contact with. It is an expression of the real, the radical immanence as a transcending arrangement. It is a collective articulation bound up with intricate relations and management of carnal, affective, and discursive matter. The present form of capitalism is based on relationships, collaborations, and processuality, and in this is altogether different from the industrial period of modernism in the sense of subjectivity, production, governance, biopolitics and so on. In both cases, the life of a subject is valuable, since it is a substratum of potentiality and capacity, creativity and innovation; and in both cases, a subject is produced with physical, mental, cognitive and affective capacities compatible with each arrangement. Artistic practice is aligned with a shift from modern liberalism to the neoliberal dynamic position of the free agent.

Such attributes have thus become so obvious that the concepts of ‘competence’, ‘trust’ or ‘interest’ are taken as given facts, instead of perceiving them as functions within an arrangement. It is not that neoliberal management has leveraged the world from its joints, but that it is rather capitalism as philosophy, which has produced this world, where neoliberalism is just a part of the philosophy. Therefore, the thought of the end of capitalism will always be speculative, since we may regard the world without capitalism in the same way as we may regard the world-not-for-humans, which may be a speculative one, also. From its inception, capitalism paved a one-way path to annihilation, predicated as it was on unmitigated growth, the extraction of finite resources, the exaltation of individualism over communal ties, and the maximization of profit at the expense of the environment and society. The capitalist world was, as Thurston Clarke described so bleakly, ”dominated by the concerns of trade and Realpolitik rather than by human rights and spreading democracy”; it was a ”civilization influenced by the impersonal, bottom-line values of the corporations.” Capitalist industrial civilization was built on burning the organic remains of ancient organisms, but at the cost of destroying the stable climatic conditions which supported its very construction. The thirst for fossil fuels by our globalized, high-energy economy spurred increased technological development to extract the more difficult-to-reach reserves, but this frantic grasp for what was left only served to hasten the malignant transformation of Earth into an alien world. The ruling class tried to hold things together for as long as they could by printing money, propping up markets, militarizing domestic law enforcement, and orchestrating thinly veiled resource wars in the name of fighting terrorism, but the crisis of capitalism was intertwined with the ecological crisis and could never be solved by those whose jobs and social standing depended on protecting the status quo. All the corporate PR, greenwashing, political promises, cultural myths, and anthropocentrism could not hide the harsh Malthusian reality of ecological overshoot. As crime sky-rocketed and social unrest boiled over into rioting and looting, the elite retreated behind walled fortresses secured by armed guards, but the great unwinding of industrial civilization was already well underway. This evil genie was never going back in the bottle. And thats speculative too, or not really is a nuance to be fought hard on.

The immanence of capitalism is a transcending immanence: a system, which produces a world as an arrangement, through a capitalist form of thought—the philosophy of capitalism—which is a philosophy of sufficient reason in which economy is the determination in the last instance, and not the real. We need to specifically regard that this world is not real. The world is a process, a “geopolitical fiction”. Aside from this reason, there is an unthinkable world that is not for humans. It is not the world in itself, noumena, nor is it nature, bios, but rather it is the world indifferent to and foreclosed from human thought, a foreclosed and radical immanence – the real – which is not open nor will ever be opening itself for human thought. It will forever remain void and unilaterally indifferent. The radical immanence of the real is not an exception – analogous to the miracle in theology – but rather, it is an advent of the unprecedented unknown, where the lonely hour of last instance never comes. This radical immanence does not confer with ‘the new’ or with ‘the same’ and does not transcend through thought. It is matter in absolute movement, into which philosophy or oikonomia incorporates conditions, concepts, and operations. Now, a shift in thought is possible where the determination in the last instance would no longer be economy but rather a radical immanence of the real, as philosopher François Laruelle has argued. What is given, what is radically immanent in and as philosophy, is the mode of transcendental knowledge in which it operates. To know this mode of knowledge, to know it without entering into its circle, is to practice a science of the transcendental, the “transcendental science” of non-philosophy. This science is of the transcendental, but according to Laruelle, it must also itself be transcendental – it must be a global theory of the given-ness of the real. A non- philosophical transcendental is required if philosophy as a whole, including its transcendental structure, is to be received and known as it is. François Laruelle radicalises the Marxist term of determined-in-the-last-instance reworked by Louis Althusser, for whom the last instance as a dominating force was the economy. For Laruelle, the determination-in-the-last-instance is the Real and that “everything philosophy claims to master is in-the-last-instance thinkable from the One-Real”. For Althusser, referring to Engels, the economy is the ‘determination in the last instance’ in the long run, but only concerning the other determinations by the superstructures such as traditions. Following this, the “lonely hour of the ‘last instance’ never comes”.

Quantum Informational Biochemistry. Thought of the Day 71.0

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A natural extension of the information-theoretic Darwinian approach for biological systems is obtained taking into account that biological systems are constituted in their fundamental level by physical systems. Therefore it is through the interaction among physical elementary systems that the biological level is reached after increasing several orders of magnitude the size of the system and only for certain associations of molecules – biochemistry.

In particular, this viewpoint lies in the foundation of the “quantum brain” project established by Hameroff and Penrose (Shadows of the Mind). They tried to lift quantum physical processes associated with microsystems composing the brain to the level of consciousness. Microtubulas were considered as the basic quantum information processors. This project as well the general project of reduction of biology to quantum physics has its strong and weak sides. One of the main problems is that decoherence should quickly wash out the quantum features such as superposition and entanglement. (Hameroff and Penrose would disagree with this statement. They try to develop models of hot and macroscopic brain preserving quantum features of its elementary micro-components.)

However, even if we assume that microscopic quantum physical behavior disappears with increasing size and number of atoms due to decoherence, it seems that the basic quantum features of information processing can survive in macroscopic biological systems (operating on temporal and spatial scales which are essentially different from the scales of the quantum micro-world). The associated information processor for the mesoscopic or macroscopic biological system would be a network of increasing complexity formed by the elementary probabilistic classical Turing machines of the constituents. Such composed network of processors can exhibit special behavioral signatures which are similar to quantum ones. We call such biological systems quantum-like. In the series of works Asano and others (Quantum Adaptivity in Biology From Genetics to Cognition), there was developed an advanced formalism for modeling of behavior of quantum-like systems based on theory of open quantum systems and more general theory of adaptive quantum systems. This formalism is known as quantum bioinformatics.

The present quantum-like model of biological behavior is of the operational type (as well as the standard quantum mechanical model endowed with the Copenhagen interpretation). It cannot explain physical and biological processes behind the quantum-like information processing. Clarification of the origin of quantum-like biological behavior is related, in particular, to understanding of the nature of entanglement and its role in the process of interaction and cooperation in physical and biological systems. Qualitatively the information-theoretic Darwinian approach supplies an interesting possibility of explaining the generation of quantum-like information processors in biological systems. Hence, it can serve as the bio-physical background for quantum bioinformatics. There is an intriguing point in the fact that if the information-theoretic Darwinian approach is right, then it would be possible to produce quantum information from optimal flows of past, present and anticipated classical information in any classical information processor endowed with a complex enough program. Thus the unified evolutionary theory would supply a physical basis to Quantum Information Biology.

Evolutionary Game Theory. Note Quote

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In classical evolutionary biology the fitness landscape for possible strategies is considered static. Therefore optimization theory is the usual tool in order to analyze the evolution of strategies that consequently tend to climb the peaks of the static landscape. However in more realistic scenarios the evolution of populations modifies the environment so that the fitness landscape becomes dynamic. In other words, the maxima of the fitness landscape depend on the number of specimens that adopt every strategy (frequency-dependent landscape). In this case, when the evolution depends on agents’ actions, game theory is the adequate mathematical tool to describe the process. But this is precisely the scheme in that the evolving physical laws (i.e. algorithms or strategies) are generated from the agent-agent interactions (bottom-up process) submitted to natural selection.

The concept of evolutionarily stable strategy (ESS) is central to evolutionary game theory. An ESS is defined as that strategy that cannot be displaced by any alternative strategy when being followed by the great majority – almost all of systems in a population. In general,

an ESS is not necessarily optimal; however it might be assumed that in the last stages of evolution — before achieving the quantum equilibrium — the fitness landscape of possible strategies could be considered static or at least slow varying. In this simplified case an ESS would be one with the highest payoff therefore satisfying an optimizing criterion. Different ESSs could exist in other regions of the fitness landscape.

In the information-theoretic Darwinian approach it seems plausible to assume as optimization criterion the optimization of information flows for the system. A set of three regulating principles could be:

Structure: The complexity of the system is optimized (maximized).. The definition that is adopted for complexity is Bennett’s logical depth that for a binary string is the time needed to execute the minimal program that generates such string. There is no a general acceptance of the definition of complexity, neither is there a consensus on the relation between the increase of complexity – for a certain definition – and Darwinian evolution. However, it seems that there is some agreement on the fact that, in the long term, Darwinian evolution should drive to an increase in complexity in the biological realm for an adequate natural definition of this concept. Then the complexity of a system at time in this theory would be the Bennett’s logical depth of the program stored at time in its Turing machine. The increase of complexity is a characteristic of Lamarckian evolution, and it is also admitted that the trend of evolution in the Darwinian theory is in the direction in which complexity grows, although whether this tendency depends on the timescale – or some other factors – is still not very clear.

Dynamics: The information outflow of the system is optimized (minimized). The information is the Fisher information measure for the probability density function of the position of the system. According to S. A. Frank, natural selection acts maximizing the Fisher information within a Darwinian system. As a consequence, assuming that the flow of information between a system and its surroundings can be modeled as a zero-sum game, Darwinian systems would follow dynamics.

Interaction: The interaction between two subsystems optimizes (maximizes) the complexity of the total system. The complexity is again equated to the Bennett’s logical depth. The role of Interaction is central in the generation of composite systems, therefore in the structure for the information processor of composite systems resulting from the logical interconnections among the processors of the constituents. There is an enticing option of defining the complexity of a system in contextual terms as the capacity of a system for anticipating the behavior at t + ∆t of the surrounding systems included in the sphere of radius r centered in the position X(t) occupied by the system. This definition would directly drive to the maximization of the predictive power for the systems that maximized their complexity. However, this magnitude would definitely be very difficult to even estimate, in principle much more than the usual definitions for complexity.

Quantum behavior of microscopic systems should now emerge from the ESS. In other terms, the postulates of quantum mechanics should be deduced from the application of the three regulating principles on our physical systems endowed with an information processor.

Let us apply Structure. It is reasonable to consider that the maximization of the complexity of a system would in turn maximize the predictive power of such system. And this optimal statistical inference capacity would plausibly induce the complex Hilbert space structure for the system’s space of states. Let us now consider Dynamics. This is basically the application of the principle of minimum Fisher information or maximum Cramer-Rao bound on the probability distribution function for the position of the system. The concept of entanglement seems to be determinant to study the generation of composite systems, in particular in this theory through applying Interaction. The theory admits a simple model that characterizes the entanglement between two subsystems as the mutual exchange of randomizers (R1, R2), programs (P1, P2) – with their respective anticipation modules (A1, A2) – and wave functions (Ψ1, Ψ2). In this way, both subsystems can anticipate not only the behavior of their corresponding surrounding systems, but also that of the environment of its partner entangled subsystem. In addition, entanglement can be considered a natural phenomenon in this theory, a consequence of the tendency to increase the complexity, and therefore, in a certain sense, an experimental support to the theory.

In addition, the information-theoretic Darwinian approach is a minimalist realist theory – every system follows a continuous trajectory in time, as in Bohmian mechanics, a local theory in physical space – in this theory apparent nonlocality, as in Bell’s inequality violations, would be an artifact of the anticipation module in the information space, although randomness would necessarily be intrinsic to nature through the random number generator methodologically associated with every fundamental system at t = 0, and as essential ingredient to start and fuel – through variation – Darwinian evolution. As time increases, random events determined by the random number generators would progressively be replaced by causal events determined by the evolving programs that gradually take control of the elementary systems. Randomness would be displaced by causality as physical Darwinian evolution gave rise to the quantum equilibrium regime, but not completely, since randomness would play a crucial role in the optimization of strategies – thus, of information flows – as game theory states.

Highest Reality. Thought of the Day 70.0

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यावचिन्त्यावात्मास्य शक्तिश्चैतौ परमार्थो भवतः॥१॥

Yāvacintyāvātmāsya śaktiścaitau paramārtho bhavataḥ

These two (etau), the Self (ātmā) and (ca) His (asya) Power (śaktiḥ) —who (yau) (are) inconceivable (acintyau)—, constitute (bhavataḥ) the Highest Reality (parama-arthaḥ)

The Self is the Core of all, and His Power has become all. I call the Core “the Self” for the sake of bringing more light instead of more darkness. If I had called Him “Śiva”, some people might consider Him as the well-known puranic Śiva who is a great ascetic living in a cave and whose main task consists in destroying the universe, etc. Other people would think that, as Viṣṇu is greater than Śiva, he should be the Core of all and not Śiva. In turn, there is also a tendency to regard Śiva like impersonal while Viṣṇu is personal. There is no end to spiritual foolishness indeed, because there is no difference between Śiva and Viṣṇu really. Anyway, other people could suggest that a better name would be Brahman, etc. In order not to fall into all that ignorant mess of names and viewpoints, I chose to assign the name “Self” to the Core of all. In the end, when spiritual enlightenment arrives, one’s own mind is withdrawn (as I will tell by an aphorism later on), and consequently there is nobody to think about if “This Core of all” is personal, impersonal, Śiva, Viṣṇu, Brahman, etc. Ego just collapses and This that remains is the Self as He essentially is.

He and His Power are completely inconceivable, i.e. beyond the mental sphere. The Play of names, viewpoints and such is performed by His Power, which is always so frisky. All in all, the constant question is always: “Is oneself completely free like the Self?”. If the answer is “Yes”, one has accomplished the goal of life. And if the answer is “No”, one must get rid of his own bondage somehow then. The Self and His Power constitute the Highest Reality. Once you can attain them, so to speak, you are completely free like Them both. The Self and His Power are “two” only in the sphere of words, because as a matter of fact they form one compact mass of Absolute Freedom and Bliss. Just as the sun can be divided into “core of the sun, surface of the sun, crown”, etc.

तयोरुभयोः स्वरूपं स्वातन्त्र्यानन्दात्मकैकघनत्वेनापि तत्सन्तताध्ययनाय वचोविषय एव द्विधाकृतम्

Tayorubhayoḥ svarūpaṁ svātantryānandātmakaikaghanatvenāpi tatsantatādhyayanāya vacoviṣaya eva dvidhākṛtam

Even though (api) the essential nature (sva-rūpam) of Them (tayoḥ) both (ubhayoḥ) (is) one compact mass (eka-ghanatvena) composed of (ātmaka) Absolute Freedom (svātantrya)(and) Bliss (ānanda), it is divided into two (dvidhā-kṛtam) —only (eva) in the sphere (viṣaye) of words (vacas)— for its close study (tad-santata-adhyayanāya)

The Self is Absolute Freedom and His Power is Bliss. Both form a compact mass (i.e. omnipresent). In other words, the Highest Reality is always “One without a second”, but, in the world of words It is divided into two for studying It in detail. When this division occurs, the act of coming to recognize or realize the Highest Reality is made easier. So, the very Highest Reality generates this division in the sphere of words as a help for the spiritual aspirants to realize It faster.

आत्मा प्रकाशात्मकशुद्धबोधोऽपि सोऽहमिति वचोविषये स्मृतः

Ātmā prakāśātmakaśuddhabodho’pi so’hamiti vacoviṣaye smṛtaḥ

Although (api) the Self (ātmā) (is) pure (śuddha) Consciousness (bodhaḥ) consisting of (ātmaka) Prakāśa or Light (prakāśa), He (saḥ) is called (smṛtaḥ) “I” (aham iti) in the sphere (viṣaye) of words (vacas)

The Self is pure Consciousness, viz. the Supreme Subject who is never an object. Therefore, He cannot be perceived in the form of “this” or “that”. He cannot even be delineated in thought by any means. Anyway, in the world of words, He is called “I” or also “real I” for the sake of showing that He is higher than the false “I” or ego.

Tantric Reality

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आत्मा त्वं गिरिजा मतिः सहचराः प्राणाः शरीरं गृहं पूजा ते विषयोपभोगरचना निद्रा समाधिस्थितिः।
सञ्चारः पदयोः प्रदक्षिणविधिः स्तोत्राणि सर्वा गिरो यद्यत्कर्म करोमि तत्तदखिलं शम्भो तवाराधनम्॥

Ātmā tvaṃ Girijā matiḥ sahacarāḥ prāṇāḥ śarīraṃ gṛham
Pūjā te viṣayopabhoga-racanā nidrā samādhi-sthitiḥ |
Sañcāraḥ padayoḥ pradakṣiṇa-vidhiḥ stotrāṇi sarvā giraḥ
Yad-yat karma karomi tat-tad-akhilaṁ Śambho tavārādhanam ||

You (tvam) (are) the Self (ātmā) and Girijā –an epithet of Pārvatī, Śiva’s wife, meaning “mountain-born”– (girijā) (is) the intelligence (matiḥ). The vital energies (prāṇāḥ) (are Your)companions (sahacarāḥ). The body (śarīram) (is Your) house (gṛham). Worship (pūjā) of You (te) is prepared (racanā) with the objects (viṣaya) (known as sensual) enjoyments (upabhoga). Sleep (nidrā) (is Your) state (sthitiḥ) of Samādhi –i.e. perfect concentration or absorption– (samādhi). (My) wandering (sañcāraḥ) (is) the ceremony (vidhiḥ) of circumambulation from left to right (pradakṣiṇa) of (Your) feet (padayoḥ) –this act is generally done as a token of respect–. All (sarvāḥ) (my) words (giraḥ) (are) hymns of praise (of You) (stotrāṇi). Whatever (yad yad) action (karma) I do (karomi), all (akhilam) that (tad tad) is adoration (ārādhanam) of You (tava), oh Śambhu — an epithet of Śiva meaning “beneficent, benevolent”.

This Self is an embodiment of the Light of Consciousness; it is Śiva, free and autonomous. As an independent play of intense joy, the Divine conceals its own true nature [by manifesting plurality], and may also choose to reveal its fullness once again at any time. All that exists, throughout all time and beyond, is one infinite divine Consciousness, free and blissful, which projects within the field of its awareness a vast multiplicity of apparently differentiated subjects and objects: each object an actualization of a timeless potentiality inherent in the Light of Consciousness, and each subject the same plus a contracted locus of self-awareness. This creation, a divine play, is the result of the natural impulse within Consciousness to express the totality of its self-knowledge in action, an impulse arising from love. The unbounded Light of Consciousness contracts into finite embodied loci of awareness out of its own free will. When those finite subjects then identify with the limited and circumscribed cognitions and circumstances that make up this phase of their existence, instead of identifying with the transindividual overarching pulsation of pure Awareness that is their true nature, they experience what they call “suffering.” To rectify this, some feel an inner urge to take up the path of spiritual gnosis and yogic practice, the purpose of which is to undermine their misidentification and directly reveal within the immediacy of awareness the fact that the divine powers of Consciousness, Bliss, Willing, Knowing, and Acting comprise the totality of individual experience as well – thereby triggering a recognition that one’s real identity is that of the highest Divinity, the Whole in every part. This experiential gnosis is repeated and reinforced through various means until it becomes the nonconceptual ground of every moment of experience, and one’s contracted sense of self and separation from the Whole is finally annihilated in the incandescent radiance of the complete expansion into perfect wholeness. Then one’s perception fully encompasses the reality of a universe dancing ecstatically in the animation of its completely perfect divinity.”

 

Accelerated Capital as an Anathema to the Principles of Communicative Action. A Note Quote on the Reciprocity of Capital and Ethicality of Financial Economics

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Markowitz portfolio theory explicitly observes that portfolio managers are not (expected) utility maximisers, as they diversify, and offers the hypothesis that a desire for reward is tempered by a fear of uncertainty. This model concludes that all investors should hold the same portfolio, their individual risk-reward objectives are satisfied by the weighting of this ‘index portfolio’ in comparison to riskless cash in the bank, a point on the capital market line. The slope of the Capital Market Line is the market price of risk, which is an important parameter in arbitrage arguments.

Merton had initially attempted to provide an alternative to Markowitz based on utility maximisation employing stochastic calculus. He was only able to resolve the problem by employing the hedging arguments of Black and Scholes, and in doing so built a model that was based on the absence of arbitrage, free of turpe-lucrum. That the prescriptive statement “it should not be possible to make sure profits”, is a statement explicit in the Efficient Markets Hypothesis and in employing an Arrow security in the context of the Law of One Price. Based on these observations, we conject that the whole paradigm for financial economics is built on the principle of balanced reciprocity. In order to explore this conjecture we shall examine the relationship between commerce and themes in Pragmatic philosophy. Specifically, we highlight Robert Brandom’s (Making It Explicit Reasoning, Representing, and Discursive Commitment) position that there is a pragmatist conception of norms – a notion of primitive correctnesses of performance implicit in practice that precludes and are presupposed by their explicit formulation in rules and principles.

The ‘primitive correctnesses’ of commercial practices was recognised by Aristotle when he investigated the nature of Justice in the context of commerce and then by Olivi when he looked favourably on merchants. It is exhibited in the doux-commerce thesis, compare Fourcade and Healey’s contemporary description of the thesis Commerce teaches ethics mainly through its communicative dimension, that is, by promoting conversations among equals and exchange between strangers, with Putnam’s description of Habermas’ communicative action based on the norm of sincerity, the norm of truth-telling, and the norm of asserting only what is rationally warranted …[and] is contrasted with manipulation (Hilary Putnam The Collapse of the Fact Value Dichotomy and Other Essays)

There are practices (that should be) implicit in commerce that make it an exemplar of communicative action. A further expression of markets as centres of communication is manifested in the Asian description of a market brings to mind Donald Davidson’s (Subjective, Intersubjective, Objective) argument that knowledge is not the product of a bipartite conversations but a tripartite relationship between two speakers and their shared environment. Replacing the negotiation between market agents with an algorithm that delivers a theoretical price replaces ‘knowledge’, generated through communication, with dogma. The problem with the performativity that Donald MacKenzie (An Engine, Not a Camera_ How Financial Models Shape Markets) is concerned with is one of monism. In employing pricing algorithms, the markets cannot perform to something that comes close to ‘true belief’, which can only be identified through communication between sapient humans. This is an almost trivial observation to (successful) market participants, but difficult to appreciate by spectators who seek to attain ‘objective’ knowledge of markets from a distance. To appreciate the relevance to financial crises of the position that ‘true belief’ is about establishing coherence through myriad triangulations centred on an asset rather than relying on a theoretical model.

Shifting gears now, unless the martingale measure is a by-product of a hedging approach, the price given by such martingale measures is not related to the cost of a hedging strategy therefore the meaning of such ‘prices’ is not clear. If the hedging argument cannot be employed, as in the markets studied by Cont and Tankov (Financial Modelling with Jump Processes), there is no conceptual framework supporting the prices obtained from the Fundamental Theorem of Asset Pricing. This lack of meaning can be interpreted as a consequence of the strict fact/value dichotomy in contemporary mathematics that came with the eclipse of Poincaré’s Intuitionism by Hilbert’s Formalism and Bourbaki’s Rationalism. The practical problem of supporting the social norms of market exchange has been replaced by a theoretical problem of developing formal models of markets. These models then legitimate the actions of agents in the market without having to make reference to explicitly normative values.

The Efficient Market Hypothesis is based on the axiom that the market price is determined by the balance between supply and demand, and so an increase in trading facilitates the convergence to equilibrium. If this axiom is replaced by the axiom of reciprocity, the justification for speculative activity in support of efficient markets disappears. In fact, the axiom of reciprocity would de-legitimise ‘true’ arbitrage opportunities, as being unfair. This would not necessarily make the activities of actual market arbitrageurs illicit, since there are rarely strategies that are without the risk of a loss, however, it would place more emphasis on the risks of speculation and inhibit the hubris that has been associated with the prelude to the recent Crisis. These points raise the question of the legitimacy of speculation in the markets. In an attempt to understand this issue Gabrielle and Reuven Brenner identify the three types of market participant. ‘Investors’ are preoccupied with future scarcity and so defer income. Because uncertainty exposes the investor to the risk of loss, investors wish to minimise uncertainty at the cost of potential profits, this is the basis of classical investment theory. ‘Gamblers’ will bet on an outcome taking odds that have been agreed on by society, such as with a sporting bet or in a casino, and relates to de Moivre’s and Montmort’s ‘taming of chance’. ‘Speculators’ bet on a mis-calculation of the odds quoted by society and the reason why speculators are regarded as socially questionable is that they have opinions that are explicitly at odds with the consensus: they are practitioners who rebel against a theoretical ‘Truth’. This is captured in Arjun Appadurai’s argument that the leading agents in modern finance believe in their capacity to channel the workings of chance to win in the games dominated by cultures of control . . . [they] are not those who wish to “tame chance” but those who wish to use chance to animate the otherwise deterministic play of risk [quantifiable uncertainty]”.

In the context of Pragmatism, financial speculators embody pluralism, a concept essential to Pragmatic thinking and an antidote to the problem of radical uncertainty. Appadurai was motivated to study finance by Marcel Mauss’ essay Le Don (The Gift), exploring the moral force behind reciprocity in primitive and archaic societies and goes on to say that the contemporary financial speculator is “betting on the obligation of return”, and this is the fundamental axiom of contemporary finance. David Graeber (Debt The First 5,000 Years) also recognises the fundamental position reciprocity has in finance, but where as Appadurai recognises the importance of reciprocity in the presence of uncertainty, Graeber essentially ignores uncertainty in his analysis that ends with the conclusion that “we don’t ‘all’ have to pay our debts”. In advocating that reciprocity need not be honoured, Graeber is not just challenging contemporary capitalism but also the foundations of the civitas, based on equality and reciprocity. The origins of Graeber’s argument are in the first half of the nineteenth century. In 1836 John Stuart Mill defined political economy as being concerned with [man] solely as a being who desires to possess wealth, and who is capable of judging of the comparative efficacy of means for obtaining that end.

In Principles of Political Economy With Some of Their Applications to Social Philosophy, Mill defended Thomas Malthus’ An Essay on the Principle of Population, which focused on scarcity. Mill was writing at a time when Europe was struck by the Cholera pandemic of 1829–1851 and the famines of 1845–1851 and while Lord Tennyson was describing nature as “red in tooth and claw”. At this time, society’s fear of uncertainty seems to have been replaced by a fear of scarcity, and these standards of objectivity dominated economic thought through the twentieth century. Almost a hundred years after Mill, Lionel Robbins defined economics as “the science which studies human behaviour as a relationship between ends and scarce means which have alternative uses”. Dichotomies emerge in the aftermath of the Cartesian revolution that aims to remove doubt from philosophy. Theory and practice, subject and object, facts and values, means and ends are all separated. In this environment ex cathedra norms, in particular utility (profit) maximisation, encroach on commercial practice.

In order to set boundaries on commercial behaviour motivated by profit maximisation, particularly when market uncertainty returned after the Nixon shock of 1971, society imposes regulations on practice. As a consequence, two competing ethics, functional Consequential ethics guiding market practices and regulatory Deontological ethics attempting stabilise the system, vie for supremacy. It is in this debilitating competition between two essentially theoretical ethical frameworks that we offer an explanation for the Financial Crisis of 2007-2009: profit maximisation, not speculation, is destabilising in the presence of radical uncertainty and regulation cannot keep up with motivated profit maximisers who can justify their actions through abstract mathematical models that bare little resemblance to actual markets. An implication of reorienting financial economics to focus on the markets as centres of ‘communicative action’ is that markets could become self-regulating, in the same way that the legal or medical spheres are self-regulated through professions. This is not a ‘libertarian’ argument based on freeing the Consequential ethic from a Deontological brake. Rather it argues that being a market participant entails restricting norms on the agent such as sincerity and truth telling that support knowledge creation, of asset prices, within a broader objective of social cohesion. This immediately calls into question the legitimacy of algorithmic/high- frequency trading that seems an anathema in regard to the principles of communicative action.

Vedic Mathematics: Sixteen Sutras and their Corollaries

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The divergence embraces everything other than the fact of intuition itself – the object and field of intuitive vision, the method of working out experience and rendering it to the intellect. The modern method is to get the intuition by suggestion from an appearance in life or nature or from a mental idea and even if the source of the intuition ie the soul, the method at once relates it to a support external to the soul. The ancient Indian method of knowledge had for its business to disclose something of the Self, the Infinite or the Divine to the regard of the soul – the Self through its expressions, the infinite through its finite symbols and the Divine through his powers. The process was one of Integral knowledge and in its subordinate ranges was instrumental in revealing the truths of cosmic phenomena and these truths mere utilised for worldly ends.

Tirthaji_S.B.K. Vedic mathematics or sixteen simple mathematical formulae from the Vedas