Abstract

Using the similar formulas of the preference relation and the utility function, we propose the confidence relations and the corresponding influence functions that represent various interacting strengths of different families, cliques and systems of organization. Since they can affect products, profit, prices, and so on in an economic system, and are usually independent of economic results, therefore, the system can produce a multiply connected topological economics. If the political economy is an economy chaperoned polity, it will produce consequentially a binary economy. When the changes of the product and the influence are independent one another, they may be a node or saddle point. When the influence function large enough achieves a certain threshold value, it will form a wormhole with loss of capital. Various powers produce usually the economic wormhole and various corruptions. Further, we propose new nonlinear theory of economic growth and its three laws: Economic takeoff-growth-stagnancy law, social conservation and economic decay law, and economic growth mode transition and new developed period law. A corresponding figure is represented. The social open-reform is a necessary and sufficient condition for further economic development. Based on the main characteristics of knowledge economy, the four theorems on the knowledge economic theory are proposed, and the production function and basic equations are expounded. Some possible directions of the development on the knowledge economy and a sustainable development theory of new economics are discussed.

How to Cite
YI-FANG CHANG, Dr.. Multiply Connected Topological Economics, Nonlinear Theory of Economic Growth and Its Three Laws, and Four Theorems on Knowledge Economic Theory. Global Journal of Science Frontier Research, [S.l.], v. 12, n. 13-F, nov. 2012. ISSN 2249-4626. Available at: <https://journalofscience.org/index.php/GJSFR/article/view/678>. Date accessed: 18 jan. 2022.