Abstract:
What could have been done to create a transparent economic model that simulates an economy and also presents sustainability towards the future? The 21st century could be seen as an era of rapid informational and technological advancement which is now at a stage where it can be applied to process large amounts of data in order to make decisions. In many economies, these advancements have contributed to the growth of many economies. If we go further on the idea of understanding economic growth, we should understand that all cycles switch to a contradictory situation from time to time. At the end of the day, the next economic crisis has the biggest chances to be ignited by the emerging markets and the macroeconomic and social wave they develop when they suffer from social or economic syncope, but in the same time we shouldn’t deflate the importance of the IT&C sector, this sector being the largest consumer of money pumped in the economy through macroeconomic policy (helicopter money, quantitative easing and swap operations), so it could be easily considered the next bubble to burst. This paper is presented as work in progress and overview of a proprietary economic model and it tries to underline the path to follow in validating which situation it’s possible to ignite the next economic crisis, routing for the latter one by updating a macroeconomic model that simulates a real working economy and was tested for the last seven years.
