EH.R: FORUM: Path Dependence

================= EH.RES POSTING ================= Two points: First, path dependance is about how one gets from point A to point B. This is inherently a dynamic process. The model most participants in this discussion seem to be using as a point of reference is the standard static or comparative statics micro model. This static model says very little about the process of getting from one point to another and less about how events along the way can affect the outcome. As I recall, even in a static context, there is body of literature that notes that events along the way can make a difference. For example, one gets one outcome (more or less the usual text book case) in a market with a tatonnement adjustment process where trading takes place only when an equilibrium price is announced. In a non-tatonnement market process, trading takes place at each intermediate price and the endowments of the participants change continually as the adjustment to price goes on. In this case, the final result - equilibrium - is, I believe, determined, if achieved at all, by the initial holdings of the participants and the time path of the process. In the non-tatonnement world of keyboards, it might be safe to say that a situation where we are using typewriters and keyboards is superior to one where we do not. It is not obvious to me that static theory tells us much about where on the keyboard layout contract curve we are likely to land. There are many issues where, I believe, static micro theory provides a lot of insight but I am not sure this is one of them. Second, I too had an Apple II computer with the switchable keyboard and manual. My 25 word per minute Qwerty skills had been slowly acquired 20 or more years previously. A couple of afternoons convinced me that (a) it could be several months of added work and reduced productivity before I was going to be significantly faster with the new system. (B) I was going to have to use Qwerty keyboards elsewhere so I had to retain those skills. (C) It did not appear that my fingers were going to learn two keyboard layouts without considerable lasting confusion. The keyboard retained it original Qwerty factory setting. John A. Tomaske jtomask@calstatela.edu Professor of Economics California State University, Los Angeles ============ FOOTER TO EH.RES POSTING ============ For information, send the message "info EH.RES" to lists@cs.muohio.edu. >