Half-Life Fallout: Humbug - Viewing Profile

indeed, the last time I had played a computer game was Space Invaders at University in the mists of 1981 or so!

Think of it: An economy where every action leaves a digital trail, every transaction is recorded; indeed, an economy where we do not need statistics since we have all the data!

For the first time since I switched from mathematical statistics to economics (around 1982), I saw an opportunity for scientific research on some really existing (albeit digital) economy. For let’s face it: Econometrics is a travesty! While its heavy reliance on statistics often confuses us into believing that it is a form of applied statistics, in reality it resembles computerised astrology: a form of hocus pocus that seeks to improve its image by incorporating proper science’s methods, displays and processes. Is this not too harsh a judgment on econometrics?

By studying Valve’s economy, we would have an opportunity to enhance the experience of its customers, in addition to sharpening my own thinking about what makes real economies tick. And as if all this were not enough, there was another incentive thrown into the mix: the opportunity to understand better the remarkable social organisation of production within Valve itself. (But more on this in another post…)