Dynamic Arrangements in Economic Theory: Level-Agnostic Representations

TL;DR

This paper introduces a category-theoretic framework for modeling dynamic interactions among rational agents in economics, emphasizing level-agnostic representations to capture systemic effects.

Contribution

It develops three categories, including a new one, to formalize dynamic agent interactions in economics using category theory.

Findings

Introduces three categories for modeling economic interactions.

Provides a formalism for dynamic rearrangements among agents.

Extends mathematical tools for systemic effects in economics.

Abstract

If Economics is understood as the study of the interactions among intentional agents, being rationality the main source of intentional behavior, the mathematical tools that it requires must be extended to capture systemic effects. Here we choose an alternative toolbox based on Category Theory. We examine potential {\em level-agnostic} formalisms, presenting three categories, $\mathcal{PR}$, $\mathcal{G}$ and an encompassing one, $\mathcal{PR-G}$. The latter allows for representing dynamic rearrangements of the interactions among different agents.