Diversification versus specialization -- lessons from a noise driven linear dynamical system
Abstract
Specialization and diversification are two major strategies that complex systems might exploit. Given a fixed amount of resources, the question is whether to invest this in elements that respond in a correlated manner to external perturbations, or to build a diversified system with groups of elements that respond in a not necessarily correlated manner. This general dilemma is investigated here using a high dimensional discrete dynamical system subject to an external noise, analyzing the statistical properties of an order parameter that quantifies growth. Our analytical solution suggests that diversification is a good strategy once the system has a fair amount of resources. For systems with small or extremely large supplies, we argue that specialization might be a more successful strategy. We discuss the results also from the perspective of economic and biologic systems.
Cite
@article{arxiv.1411.4756,
title = {Diversification versus specialization -- lessons from a noise driven linear dynamical system},
author = {Gabriell Mate and Zoltan Neda},
journal= {arXiv preprint arXiv:1411.4756},
year = {2014}
}
Comments
5 pages