Fallibility, reflexivity, and the human uncertainty principle. George Soros*. Soros Fund Management and the Open Society Foundations, New York, NY, USA. When I first read The Alchemy of Finance by George Soros, I thought his “theory of reflexivity” was absurd. It seemed to be an ex post facto. In epistemology, and more specifically, the sociology of knowledge, reflexivity refers to circular . Economic philosopher George Soros, influenced by ideas put forward by his tutor, Karl Popper (), has been an active promoter of the.

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This can be provided with a demand-led stock-flow coherent osros model without any production function. So I will leave you with this last piece of advice that I myself have tried to utilize as much as I can. Here I wanted to discuss just one aspect. My arguments may not strike the reader as particularly well organized, but they are certainly more consistent than they would have been if I had not taking the trouble to formulate them in writing.

And he was right about the Japanese stock market being one of the landmarks of contemporary history. If so, I am prepared to sit out a rally in stocks and bonds, especially as I am going to China for a month. We can see it, touch it, and we know a tree when we see reflexivityy. To outperform the market, it helps investors to try and recognize what the flaws of the other players in the market are in advanced.

Simonhas been debated as a major issue in relation to the Lucas Critiqueand has been raised as a methodological issue in economic science arising from the issue of reflexivity in the sociology of scientific knowledge SSK literature. This site uses Akismet to reduce spam.

Reflexivity (social theory) – Wikipedia

Fundamental analysis seeks to establish how underlying values are reflected in stock prices, whereas the theory of reflexivity shows how stock prices can influence underlying values. He also adds a lot of the secrets that are responsible for his success. Within that part of recent sociology of science that has been called the strong programmereflexivity is suggested as a methodological norm or principle, meaning that a full theoretical account of the social construction of, say, scientific, religious or ethical knowledge systems, should itself be explainable by the same principles and methods as used for accounting for reflecivity other knowledge systems.


Human thoughts and emotions are what drive security prices. Investment is self-financing as investment expenditure for one firm is a source of revenue for another.

The geprge functions can interfere with each other by rendering what is supposed to be given, contingent.

I wrote this article myself, and it expresses my own opinions. That is what made it feorge viable as a sorros His description however lacks a mechanism. I am not receiving compensation for it other than from Seeking Alpha. Economist and former columnist of the Financial Times, Anatole Kaletskyargued that Soros’ concept of reflexivity is useful in understanding the way in which Western analysts believe that China’s “economy is not only slowing, but falling off a cliff.

I knew that I did not act on grorge basis of knowledge; I was acutely aware of uncertainty and I was always on the lookout for mistakes. Rooted in literary criticism and philosophical analysis of the relationship of anthropologist, representations of people in texts, and the people represented, this approach has fundamentally changed ethical and methodological approaches in anthropology.

There can be other reflexuvity leading to the fall of both equities and earnings. And when a successful idea or strategy gets copied it becomes harder to succeed if lots of other market participants are copying it. On the one hand, participants seek to understand reality; on the other, they seek to bring about a desire outcome.

This leads to the metaculture of conventions about managing and reflecting upon culture.

For several decades there was little sign of the principle being accepted in mainstream economic circles, but there has been an increase of interest following the crash ofwith academic journals, economists, and investors discussing his theories. When I finally discovered what was wrong my backache usually went away.

George Soros Reflexivity Theory 101

This rise in domestic demand raises output as producers will produce more to meet the demand. Palgrave Macmillan Grunberg, E. In epistemologyand more specifically, the sociology of knowledgereflexivity refers to circular relationships between cause and effectespecially as embedded in human belief structures.


Admittedly, the underlying conditions that are supposed to be reflected in stock prices are also constantly changing, but it’s difficult to establish any firm relationship between changes in stock prices and changes in the underlying conditions. As with the feminist and anti-colonial critiques that provide some of reflexive anthropology’s inspiration, the reflexive understanding of the academic and political power of representations, analysis of the process of “writing culture” has become a necessary part of understanding the situation of the ethnographer in the fieldwork situation.

The objective evidence is reinforced by emotions. The observations are not independent of the participation of the observer. The problem is even more difficult in the social sciences.

Reflexivity, therefore, raises real issues regarding the extent to which the social sciences may ever be viewed as ref,exivity sciences analogous to classical physics, and raises questions about the nature of the social sciences.

He wrote the book, The Alchemy of Finance, to communicate his theories on the markets and why he had so much success. Thus for example an anthropologist living in an isolated village may affect the village and the behaviour of its citizens under study. Lists Anthropologists by nationality Anthropology by year Bibliography Journals List of indigenous peoples Organizations.

He was betting more money with my ideas than I was. He was willing to bet really big when he found something that he felt he soors confident in and he got it right when it counted.

For her, human reflexivity is a mediating mechanism between structural properties, or the individual’s social context, and action, or the individual’s ultimate concerns. What you described is an incredible one-way bet.

Reflexivity (social theory)

A typical market boom— bust. Managing money is hard enough as it is and Soros was managing billions of dollars which made it even harder. Social sciences portal Feorge portal Economics portal Sociology portal.