All human activities, including mental activities, are governed by physical laws and are essentially thermodynamic processes. However, current economic theories are not established on these foundations. This pioneering book seeks to develop an analytical theory of economics on the foundation of thermodynamic laws. A unified understanding of economic and social phenomena is presented, an understanding that is much simpler than what mainstream economic theory has to offer. Its aim is to revolutionize thinking in economics and transform social sciences into an integral part of the physical and biological sciences.
Errata(s)
Errata
Sample Chapter(s)
Chapter 1: The Entropy Theory of Human Mind (476 KB)
Contents:
- The Entropy Theory of Human Mind
- The Entropy Theory of Value
- Production and Competition: An Analytical Thermodynamic Theory
- Natural Resources, Technology and Institutions: A Historical Perspective
- Migration, Trade, Education and Fertility: A Spatial Perspective
- From Modern Astronomy to Modern Finance: A New Theory of Finance
Readership: Academics, graduates, undergraduates and general readers who are interested in the fundamental problems in social sciences.
“The Physical Foundation of Economics is an interesting attempt to use the physics concept of entropy in economic sciences, analogous to its success as Shannon entropy in information science.”
Professor Dietrich Stauffer
University of Cologne
“Jing Chen presents us with a thermodynamic theory of economics which unifies the concepts of physical entropy, information, and economic value. The book is an exciting journey towards the point where economics, physics, and biology come together and provides a deep understanding of the fundamental interconnectedness between the socio-economic world and the biosystem.”
Assistant Professor Raluca Iorgulescu Polimeni
Siena College, USA
“This is an extremely interesting book that attempts to provide an entirely new foundation for economic theory … it is a fascinating read that helps me (not an economist) make a little more sense out of the world.”
Books-On-Line
“… is an important reference book for those interested in the biophysical foundations of ecological economics. In the struggle to build the edifice of an entropy-based economic theory, Jing Chen establishes a solid foundation.”
R I Polimeni and J M Polimeni
Siena College, USA
Albany College of Pharmacy, USA
“This work therefore deserves the attention of readers in several fields of endeavor … I cannot put his book aside easily or quickly. One hopes that further work will come both from Professor Chen and from those who have similar thoughts along these lines to share.”
W Batt
Executive and Principal Researcher
Central Research Group, Inc.
“Chen's thermodynamic theory appears to be a powerful one and worth considering. He also manages to explain it in a simple and ordinary way; today's economics texts are replete with complex equations, but the mathematical data here is easy to follow.”
Economics and Thermodynamics
