Debt crisis, strongly interacting systems and collective motion

It is a mathematical fact that system formed of many parts (a set of variables ) strongly interacting together (what would be put in equation as ) tend to develop a collective behavior (i.e. the variable are linked together). This collective motion can take several forms : periodic variations (), chaotic evolution, or self-enhancement ().

It is very unlikely, unless the system has been very finely tuned that the variables will have a stabilized path, where all variations are damped in the system, i.e. always gets back to a nominal value of .

What does that have to do with the euro crisis ? Simple, replace the system and its parts by the economy, the markets, the banks, the credit agency, … and the interactions by the news report, the press release, the internet, the constant flow of information, … And here it is, the financial ever-falling crisis of the moment, when nothing can stop the down trend for the simple reason that the system is locked into crisis mode.


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