15 - Conclusion

Summary

This book had as its main objective to discuss how (quantum) physics concepts could be used in a relevant way in the modeling of a variety of economics/finance and psychology-based processes.

For those readers who have come to read this conclusion, without skipping its “backbone,” we would like to say “thank you” for keeping with us until the end.

The possible claim, which says that social science driven dynamics would need analyzing with techniques from the natural sciences, may well have been tempered with this book. Although quantum physics as a theory of prediction is one of the most successful theories humankind ever devised, it is not unreasonable to suggest that the number of foundational interpretations of quantum physics is sizable.

Consider now the following natural question: “How can a theory with such a wide diversity of foundational interpretations serve to inform and elucidate a non-cognate area of research (like economics or psychology)?” Indeed, we should want to stand upright and write, without hesitation, the words “non-cognate.”

No theory in social science can come close to the predictive power of quantum physics. However, very few social science theories are “plagued” by foundational issues of such depth as quantum physics. As an example, consider the issue of why quantum physical wave functions do have to be complex valued. Do physicists have a satisfactory answer to this very basic question? A theory of such predictive power has a partial differential equation, the Schrödinger equation, which cannot be rigorously derived. However, in economics and finance we strive to build theoretical edifices with the utmost respect for rigor.