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Dynamics and complexity

Almost all important decisions in an individual's life are dynamic in nature: decisions about education, marriage and cohabitation, childbearing, health and nutrition, savings and investment, retirement planning, house purchase and the labour market - all have consequences in both the present and the possibly distant future. For many of these decisions, individuals face enormous uncertainty. The financial crisis beginning in 2007 reminds us of this fact. There are complex interrelationships, decisions in one area having effects on outcomes in others. Further empirical work is essential to understand how individuals behave in a dynamic complex environment. Knowledge is very limited at present and government cannot act in the best interests of the populace without this knowledge.

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Centre for Microdata Methods and Practice

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