Fundamental analysis was an early technology to manage opportunities and risks, but mathematical solutions were consistent enough to displace and transform it into a subjective and perhaps intuitive approach to opportunity/risk management.

It has to be considered that human adaptive systems have a three dimensional structure following the ontogenetic intelligence of nature: http://www.unicist.org/deb_uoin.php

An ontological approach is necessary to deal with opportunities and risks in the field of adaptive systems in order to manage their three dimensional ontogenetic algorithms.

As it is known, mathematical models for adaptive systems are necessarily based on “ceteris paribus” or empirical solutions that are based on historical information with sophisticated projections.

That is why we consider that time has come to integrate technical analysis with fundamental analysis to provide reliable diagnoses and prognoses to the markets. This will surely prove a security framework that will bring relief to them.

We invite you to be our guest at the Unicist Library: http://www.unicist.com

Peter Belohlavek

NOTE: The Unicist Research Institute was the pioneer in complexity science research and became the major research organization in the world in the field of human adaptive systems. More than 4,000 unicist ontological researches were developed since 1976 until July 2011 in the field of individual, institutional and social evolution. They included the development of the unicist ontogenetic maps (DNA) of institutions.

The unicist economic theory defines that the maximal strategy for economic behavior is driven by production and the minimum strategy is driven by distribution.

Economic evolution implies the prevalence of production, while using the distribution to ensure the minimum strategy for economic equilibrium and social well-being. Unicist distributionism is a concept that differs structurally from the Catholic use of the word.

State actions should provide the well-being of future generations while governmental actions, being driven by electoral needs, are naturally focused on present well-being.

In 50 years there will be nearby 9 billion inhabitants in the world. That is why the need for productivity is basic to ensure their existence without entering into endless survivor conflicts which necessarily drive towards an increase of fundamentalism with the corresponding consequences.

Nowadays neo-monetarism prevails; monetary disposal supersedes rational economic behavior. Countries’ external and internal debts that have not been the consequence of infrastructural investments are an indicator of lower or higher levels of distributionism.

Distributionism is focused on ensuring the distribution of materialistic resources without considering their relationship with the value generated. This necessarily generates structural crises and conflicts.

But there are also subtle aspects in distributionist behaviors. Incentivizing war-industry to increase the monetary circulation to reactivate an economy or speculative businesses are collateral damages of a distributionist attitude.

Distributionism begins when cultures consider that they achieved their “zenith”.

Where are we now  in the European Union and in the USA?

Peter Belohlavek

This can be seen in “The lack of hope triggers social cathartic conflicts”: http://www.theoryofevolution.net/blog/the-lack-of-hope-triggers-social-cathartic-conflicts/

This explosion or implosion happens making all the members feel guilty because of their incapacity to find solutions to integrate their fellows.

As guilt is a feeling that cannot be borne, it is transformed into an extreme anxiety first, and then into hate at the end, in order to allow individuals to adapt.

Guerrilla wars are fundamentalist wars

Guerrilla wars require a high level of hate in order to legitimate the killing of fellows. External wars happen in order to obtain a booty, whatever the kind. But booties are illegitimate in civil wars. Therefore “hate” is needed to legitimate booties in civil guerrilla wars. But, on the other hand, hate also makes them extremely irrational.

This situation drives naturally to addictive behaviour.

Addictions are a natural response to an uncertain environment in which a person feels hopeless, impotent and without identity.

When these conditions are given, individuals enter the shelter of addictions.

Addictions help to deal with these self-destructive feeling in a paradoxical way. While the individual is installed in the parallel world s/he feels fulfilled, but, after returning to the real world, s/he feels worse than before and the need for addictive stimuli rises.

On the one hand, the rebels need to build a parallel reality based on their utopia. On the other hand, the establishment enters into a parallel reality to solve a conflict they cannot deal with in a rational way.

Fundamentalism is an addiction with many benefits

1. It creates a real world to live in which appears to be the parallel world one is seeking.
2. It creates social bonds among the members of the group sharing the same belief.
3. It generates or empowers the development of a micro-cosmos in which addicts feel free of addictions and the self-destruction is deviated towards “the rest of the world”.

Considering the level of self-destruction or destruction, four segments can be characterized:

1. Pleasure addictions: providing instants of extreme pleasure.
2. Rational/spiritual addictions: providing the sensation of absolute empowerment.
3. Suicidal addictions: providing the power of “dancing” beyond human limits.
4. Terrorist addictions: providing the power of feeling God.

Conclusions

Stagnated hopelessness fosters guerrilla wars in extremely individualistic countries that lack institutionalization and therefore cannot have a conservative/liberal alternation.

The level of institutionalization can be measured in the separation between the Government and the State of a country and the “social sanction” for illegal behavior of individuals.

In highly institutionalized countries hopelessness drives towards a marginal violent behavior that works as a catharsis until the alternation conservatism/liberalism provides a solution.

Legitimacy is all what matters to overcome the wounds of civil wars.

Peter Belohlavek

All innovations imply change, but not all changes are innovations in the sense it was described. Innovations require the existence of a structural change of how a scarce element is being managed.

Inventions and discoveries are innovations only when they modify the management of scarcity. Inventions and discoveries only exist if the innovation can be apprehended.

The use of an innovation is a condition for its existence. Until this happens it is perceived as an expression of the inventor’s or discoverer’s ego.

A necessary condition to apprehend an innovation’s functionality is its operational recreation. This recreation requires a high level of adaptation to the environment in order to be able to “introject” the functions of the innovation.

Innovation blindness is an unconscious response of individuals who do not perceive the proposed change, when the conditions to make use of it are not given.

The functionality of innovation blindness is the avoidance of energy consumption to introduce a new task in an individual’s brain.

In order to avoid the innovation, the necessary fallacies are built. Thus those who do not have the necessary knowledge to apprehend a new reality are “blind” and those who do not have it but think they do, are blind and deaf.

The consequence of innovation blindness is that individuals cannot see an innovation and cannot hear about it.

Peter Belohlavek

Modifications of functions will cause different effects according to the role the functions comply with. Mutations occur when the purpose of given concepts change.

If there is a modification in the adverbial function mutations could take place, and even if there is none, the system has lost stability and will generate a change in the verbal function.

Mutation may occur because of evolution or because of involution. In the first case mutations are based on the action of the verbal function to fulfill its purpose. Involution is produced by the inability of the verbal function to produce results.

Evolution implies that the verbal function, representing a more functional intelligence, turns to be the purpose of a concept.

Involution implies a structural change in the functionality of a concept. The verbal function sub-concept replaces the concept.

Socially, there is mutation when there is a change in the habits of a given society. The purposes of a society are implicit in its habits.

Fifth evolution law: The law of mutation

Mutation occurs when a living being or a being with artificial life is marginalized and his survival is threatened. In this context, living beings mutate and adapt again when they have the necessary energy to do so.

This law can be observed in the evolution of diseases. Viruses mutate frequently. They mutate when they need to find new ways to survive hostile environments.

Mutations occur in chaotic contexts. It is hardly impossible to influence mutations to cause evolution.

Peter Belohlavek

There was a clan living at the seaside of the “Land of Opportunities”. They were 6 men and 6 women. They lived in nice huts in a small village. These huts surrounded the shack of their chief, demonstrating his rank.

They were happy and comfortable with their life and deeds but the global warming process was endangering their survival. It was expected that during the next ten years the melting of the North Pole would produce the invasion of their land by the ocean.

Under this extreme condition, the need to survive forced them to seek for new opportunities. The access to other opportunities required climbing a cliff that separated their remaining land from the rest of the country. Fortunately, there was no apparent problem for climbing the cliff because in the Land of Opportunities there were ladders for everyone who wanted to grow.

The chief decided that it was time to grow before the sea invaded their property. So there they went, all together, while the chief entered his shack to plan the details of the new life. Everyone picked up a ladder and began to ascend the cliff. The ladders were large enough to achieve the upper land.

But while they were ascending step by step the ladders began to sink in the soil until they disappeared when they put their foot on the last step.

They looked astonished at each other. What kind of ladders were these?

As there were many ladders available they tried again….. But the result was the same.

They didn’t want to call the chief for such a meaningless problem. They had to solve it.

The senior of the clan proposed to build stone basements for the ladders to sustain them.

So they did and it worked!

They climbed three steps without problems but then, suddenly, the basements disappeared and the ladders sunk into the soil.

Finally, there was a unique ladder left. It was their last chance to grow.

To avoid spoiling their opportunity they called the chief and told him what had happened.

He was astonished and became wordless.

“We need to build ladders”, was the final decision. But the situation was extremely bizarre.

There were neither screws nor nails available to build ladders, because their use had been forbidden many years ago since people used them to screw and nail other people.

Ladders needed to be built using sticks and ropes.

“Let’s build one ladder to test it”, decided the chief.

So they built it following the model of the last ladder that was left. As soon as it was finished they began to climb the ladder one by one. The last one would be the chief.

It worked! And they reached the top land. But suddenly, without notice, the landscape changed and they were again on the same place where they had started.

“Crazy, crazy, crazy!” were the silent words of the chief.

They went to sleep to overcome their frustration in order to start from scratch the following day.

Early in the morning the chief decided to be the first one to explore the Land of Opportunities in order to avoid the frustrations of the group.

And there he went!

Of course he arrived and… “Good!” he thought; “and now what?”

Suddenly the landscape changed again but instead of going back to the starting point he found himself in the middle of a fruitful farm.

He became astonished and wordless again.

He picked up some “Apples” looked down from the new land at his group and showed them shouting that they should follow him because the Land of Opportunities had opened its gates. His invitation was accepted by some members of the group but others didn’t believe him.

Six climbed the ladder and joined him but five remained in their old village.

They arrived one by one. Every new member who arrived produced a change in the landscape making it more fruitful. Thus they started a new life away from the seaside. At the beginning it was too different, hard and uncertain, but fruitful.

What had to happen happened. Weeks later, three of the members of the original group joined them and were welcome and integrated as if they had been there from the beginning.

Two remained on the seaside. Years after, the ocean finally invaded the seaside and their village disappeared. No one really knows what happened with the two who remained in the village. It is said that they went to Peter Pan’s Neverland before the ocean invaded the seaside.

Peter Belohlavek

What is the Ladder?

Riddles don’t have a right answer; they have many possible answers…

(1) Riddles have many solutions. In the Far East, riddles are used to develop internal freedom and responsibility.

Access or request a Unicist Tweetinar on this subject at:
http://www.academic.unicist.org/unicist_tweetinars.shtml

Learn more about the trend of ontology based solutions for businesses:
http://www.unicist.net/obs.shtml

NOTE: The Unicist Research Institute is the pioneering complexity science research organization developing solutions for complex adaptive systems using ontogenetic ontologies and object driven technologies. More than 3,500 ontological researches were developed since 1976 until September 2010 in the field of individual, institutional and social evolution.

The Archetype of the USA is a paradigmatic example of how a culture can be leading in the world while strengthening its identity.

For this case, it is strongly recommended listening to the lecture you can find at: http://www.unicistinstitute.net/blog/unicist-future-research-the-archetype-of-the-usa/

Based on the research on the Archetype of the USA, its purpose is growth and its active function is given by the propensity to dare while achieving its “dream” within a credibility context.

The Maximal strategy implies that the culture is driven by daring actions to achieve its cultural “dream” within an institutionalized context.

The catalyst of the evolution of the American archetype is its institutionalization that accelerates its evolution. Institutionalization is materialized in the democratic rules of the society.

The icon of the cultural dream is the American Flag. Daring implies doing in terms of concrete operational actions to achieve growth and surpass the well-being achieved by the preceding generations.

The social pressure towards growth within a context of being a leading culture in the world generates uncertainty in the coming generations that fosters the need for addictions to avoid the responsibility to produce growth.

The minimum strategy of the archetype fosters thinking, driven by the personal objectives and within the limits of the personal credibility. That is why the USA archetype includes a multi-minority approach.

This minimum strategy provides the necessary context to develop hard technologies that sustain the economic activities of the maximal strategy.

Personal credibility is the entropy inhibitor of the American archetype. As wealth sustains the perception of security, personal credibility requires having solved the necessary financial situation that makes an individual credible.

Daring, dreaming, credibility and thinking integrated to achieve growth require a strong ethical environment that needs to be sustained by the judiciary system. Lying is unacceptable because it destroys the credibility and transparency of the archetype.

Understanding and respecting the archetype of the USA will be extremely useful to develop global and local businesses.

Access or request a Unicist Tweetinar on this subject at:
http://www.academic.unicist.org/unicist_tweetinars.shtml

Learn more about the trend of ontology based solutions for businesses:
http://www.unicist.net/obs.shtml

Peter Belohlavek

NOTE: The Unicist Research Institute is the major research organization in the world in its specialty based on more than 3,500 ontological researches in complexity sciences, developed since 1976 until September 2010, applied to individual, institutional and social evolution. The applicative researches are based on the discovery of the Ontogenetic Intelligence of Nature and the consequent Unicist Ontology of Evolution.

Conservative thinking requires seeing to believe. That is why when a new concept is being discussed and an individual asks for an analogical benchmark, it is because s/he is avoiding entering a new field.

Seeing to believe is necessary to deal with operational thinking. When operation has to be done it is necessary to deal with a credibility based on seeing. Seeing is used in a wide sense considering all the aspects that deal with sensory experiences to apprehend reality.

Seeing to believe is based on the past experiences of individuals to generate the credibility of present actions.

Forward-chaining thinking is the secure approach to reality which avoids having a high level of inner freedom because the external reality is apprehended through sensory experiences. The use of sensory information avoids the need to make decisions based on internal freedom.

1 + 1 = 2 is an arithmetic metaphor of forward-chaining thinking.

Minimum strategies, which need to ensure survival, require forward-chaining thinking and using the sensory experiences to believe.

Expansive actions require believing to see

Expansive actions require providing additional added value to the environment and thus they are implicitly innovative. The innovation is implicit in the additional added value.

Believing to see is necessary for conceptual thinking. Concepts are essential. Therefore they need to be approached based on abstract beliefs that need to be confirmed in their manifested operational actions.

Conceptual thinking implies reflection that goes beyond the sensory experiences of individuals. Homological experiences are the benchmarks to be used to apprehend new action fields.

Believing to see is an approach to the nature of a reality in order to influence the future evolution and develop present actions.

Backward-chaining thinking is necessary to approach any activity that deals with adaptive systems and complexity. The oneness can only be approached with backward-chaining thinking processes which are integrated in the unicist reflection process.

2 = Infinite Solutions is an arithmetic metaphor of backward-chaining thinking.

It requires the use of a high level of inner freedom, because there are no sensory parameters to confirm the validity of a process. That is why a “believing to see” approach needs to be sustained by destructive and non-destructive pilot tests.

Maximal strategies which allow expansion beyond the present boundaries of an activity require the use of backward-chaining thinking and using individuals’ beliefs that need to be validated with sensory experiences.

Doing within adaptive systems

Actions are the demonstration of a decision. There are unconscious, intuitive and conscious decisions. All actions include all the aspects but when we talk about “Doing” we imply actions ruled by conscious behavior.

Influencing adaptive systems requires integrating “believing to see and seeing to believe”.

But it has to happen following the ontological evolution law. An individual needs to believe in order to be able to see and then confirm what has been seen in order to validate the belief.

Managing adaptive systems implies beginning to apprehend the possibilities that can be achieved. To do so it is necessary to use backward-chaining thinking in order to apprehend the solution in its oneness. Therefore the first step to deal with adaptive systems requires the use of inner freedom to apprehend the actual reality. It requires “believing to see”.

This allows developing a maximal strategy that makes expansion possible.

After the concept has been grasped and used to develop a maximal strategy it is necessary to ensure survival developing minimum strategies. Minimum strategies are operation driven and use forward-chaining thinking as a tool that requires sensory experiences to confirm the validity of actions. Therefore it requires a “seeing to believe” approach.

The level of inner freedom required is minimal because actions are driven by sensory experiences.

Doing implies having the necessary inner freedom to be able to “believe to see” and the necessary discipline to follow a method to do, based on “seeing to believe”.

Businesses require “believing to see” to be defined, because they happen in the future that cannot be perceived through sensory experiences, and “seeing to be believe” in order to be administrated.

In business “seeing to believe” is a fallacy.

In operational activities “believing to see” is a utopia.

Learn more about the trend of ontology based solutions for businesses:
http://www.unicist.net/obs.shtml

Peter Belohlavek

NOTE: The Unicist Research Institute is the major research organization in the world in its specialty based on more than 3,500 researches in complexity science, developed since 1976 until September 2010,  applied to individual, institutional and social evolution. The applicative researches are based on the discovery of the Ontogenetic Intelligence of Nature and the consequent Unicist Ontology of Evolution.

Therefore, institutions have an ontology that is homologous to the one of biological entities: http://www.theoryofevolution.net/blog/the-unicist-ontology-of-biological-entities/

Their purpose is permanence which requires having transcendent goals while satisfying the personal goals of their members.

They need to minimize the energy they consume. To do so the integration of their adaptive systems with their administrative systems is based on a natural organization that considers the environment, the technologies and the business.

Their adaptation is sustained by their strategy including maximal strategies to expand and minimum strategies to survive.

The understanding of the ontology of institutions considered as beings with artificial life allows, on the one hand, accessing a metamodel to build institutions and, on the other hand, it allows managing their evolution.

Peter Belohlavek

NOTE: The Unicist Research Institute is the major research organization in the world in its specialty based on more than 3,500 researches in complexity science, developed since 1976 until September 2010,  applied to individual, institutional and social evolution. The applicative researches are based on the discovery of the Ontogenetic Intelligence of Nature and the consequent Unicist Ontology of Evolution.

The Unicist Standard for complexity research was developed based on the characteristics of adaptive systems considered in their complexity.

Some of their characteristics are:

1) Open boundaries
2) Biunivocity of its components
3) The existence of conjunctions without disjunctions
4) The inexistence of observers

The consequence was the substitution of an epistemologically invalid approach to complex problems, dividing them into variables, which are inexistent, by a unicist ontological approach driven by objects, in which objects are integrated as subsystems in adaptive systems, following the rules of the ontogenetic intelligence of nature.

The unicist ontological research approach allowed researching adaptive systems in the oneness of the unified field they define, avoiding the development of hypothetical solutions based on inexistent cause-effect relations.

The unicist ontological research model enabled the definition of the field of possibilities of an adaptive system and to enter then in the field of probabilities of the occurrence of events.

This gave birth to the Unicist Standard to research and deal with human adaptive systems.

Peter Belohlavek

NOTE: The Unicist Research Institute is the major research organization in the world in its specialty based on more than 3,500 researches in complexity science, until September 2010,  applied to individual, institutional and social evolution. The applicative researches are based on the discovery of the Ontogenetic Intelligence of Nature and the consequent Unicist Ontology of Evolution.