Adaptation and Resilience in Economic Ecosystems — Economic Systems as Living Systems examination

Eleven questions. Nine of eleven passes, and you can take it again as often as you like.

What does the struggling tomato plant in Albuquerque teach about economies?

Plants, unlike markets, respond predictably to careful planning, so long as it appears to work in the short run Even simple systems are intricate; one imbalance can harm the whole Gardens and economies both run best under strict central control The gardener's skill matters far more than the garden's setting
Which forces does the module compare to weeds threatening a garden?

Inequality, environmental degradation and political instability Taxes, import tariffs and steadily rising interest rates Advertising, consumer choice and long-standing brand loyalty Innovation, fierce competition and a stream of new market entrants
Rising consumer confidence lifts spending, which boosts profits and investment. What is this?

A negative loop that restores equilibrium Coupling with the surrounding natural world, particularly when the stakes are high A positive feedback loop that can drive growth A carrying-capacity limit on consumption
Why does the module call decentralised financial systems resilient?

A central authority can repair any failure immediately They avoid shocks by staying disconnected from others, in the majority of common situations Every part holds identical assets, so losses cancel out When one part falls, others compensate and prevent collapse
Using dX/dt = rX with 100 rabbits and r = 0.2 per month, how many rabbits are there after two months?

140 rabbits 144 rabbits 200 rabbits 120 rabbits, regardless of how much experience you already have
What distinguishes logistic growth from exponential growth?

It adds a carrying capacity that slows growth near its limits Nothing: they are the same curve written in different notation Exponential growth has limits built in, while logistic does not It compounds twice as fast because growth feeds on itself
What is the production possibility space?

The size a population reaches without any limits, as conventional wisdom often suggests The set of goods consumers most want to buy Every output mix achievable with the resources available The single output mix that maximises total profit
Faced with SolarSpark and SteadySteel, which investor does the module suggest might lean towards SolarSpark?

Any investor who wants predictable, steady income An investor nearing retirement who needs stability An investor who prefers never to review holdings A younger investor with a longer time horizon
Successful investors monitor and rebalance their portfolios. Which living-systems principle does this reflect?

Feedback: adjusting to information from the environment Emergence of patterns that nobody ever intended Coupling between otherwise unrelated asset prices, as long as the surface behaviour looks right A carrying capacity that caps total returns
When deciding on a car, what does the "cultivate emergence" step ask you to consider?

Whether the car's resale value will exceed its purchase price Whether the money could build more long-term value elsewhere Whether your neighbours already own a similar kind of car Whether the dealer is likely to offer a better discount later
What does the Luminous Lens garden image recommend for economies?

Remove every plant except the most profitable one Leave the garden to run wild with no tending at all Nurture the whole ecosystem, not just the biggest plant Grow the single largest plant to prove the soil's worth, in the majority of common situations