This book is a comprehensive yet accessible introduction to the political and economic ramifications of the science(s) of complexity. It does not advocate for any particular policy agenda, such as free markets or more government intervention, but a mixed and nuanced approach. Its two authors come from rather different ideological backgrounds: one of them is a quasi-Keynesian while the other is a quasi-Hayekian. Instead of ideological purity, it advocates for a new kind of "laissez-faire activist policy." This is an ambiguous position with unspecified and open-ended implications.
The authors start by laying out the interdisciplinary framework of complexity as developed my mathematicians and physicists in the past decades. They see the economy as a complex adaptive system not amenable to top-down prediction or control. They interpret the complexity frame as a natural continuation of the classical liberal political economy of people like Adam Smith and John Stuart Mill, mixed in with some contemporary insights from Hayek and Keynes.
The central insight is that the government should let people be free to interact in complex and socially beneficial ways - not just to pursue profits and material ends via the market mechanism, but also to pursue collective organization, social welfare, new kinds of social norms, etc... Instead of top-down mandates, the government should aim to create an evolving "ecostructure" that encourages bottom-up experimentation and sees strength in diversity. The complexity frame criticizes the assumptions of neoclassical economics and favours long-term resilience over short-term economic efficiency. It optimizes for long-term evolutionary dynamism. It sees human beings as fallible and boundedly rational, but also evolvable, transformable, and surprisingly creative.
The book is written for a lay audience and it is rather readable. It guides the reader by the hand, sometimes to the point of absurdity. But it works well for someone who is new to the subject. The flip side is a slight superficiality in its treatment of complex questions. Ironically, a book about complexity is seemingly enamored with simplicity, both in delivery and in policy framing. However, this simplicity serves the double function of popularizing science and summarizing lots of data. So, I cannot fault the book for being accessible for the general public, scientists, and policy makers.
The book has three major shortcomings, however: 1) The book is 100 pages too long due to excessive repetition. In any given chapter, the same idea is often repeated two or three times, in practically the exact same words. While the sentences themselves flow easily, the LP is stuck in a loop. 2) The constant refrain of how the complexity frame is so novel because it sees markets and governments as co-evolving is somewhat self-aggrandizing. And the attempt to be both pro-government and pro-market, while well-intentioned, runs into severe difficulties when put into practice. Therefore... 3) The policy recommendations are ambiguous and, in the few places where they are more concrete, only suggestive and therefore easy to ignore or shoot down. The ambiguous nature of the laissez-faire activist policy is presented as a commonsensical and obvious guide to policy making, but it is not clear what conclusions should flow from it. Appropriate public policy should flow from the practical wisdom of policy makers engaged in consultation with the public, which doesn't say much, especially given the range of political ideologies. Although the authors make some suggestive recommendations, like the development of for-benefit corporations, the precise policy implications are left to the reader to figure out. This, I dare say, is half of the fun.
The hesitation to provide clear guidelines is in line with the insights of complexity theory. But it does raise the question of what reason, if any, do policy makers have of adopting the complexity frame it its usefulness is so limited? However, I do not think that the failure to provide clear guidelines is a failure when the alternative is so much worse. It is much more important to learn to be modest and humble in political design than to overshoot for the stars. The complexity frame does a pretty good job at ELIMINATING many bad policies from the palette of available policy options. Most of top-down socialism and neoclassical economics is badly flawed.
Furthermore, aside from its negative impact, the complexity frame has a positive side. In articulating the broad outlines of a desirable evolutionary approach, it opens up a fruitful research program, both practical and theoretical, that explores ways in which bottom-up evolutionary dynamism can be fostered using government and market institutions.
The complexity frame is an important addition to the arsenal of policy making. Although it doesn't necessarily have unambiguous or immediate consequences for policy making (people will still have to fight over whether taxes on inheritance should be lower or higher), it provides a vital way to understand some of the most important challenges of a complex society that can carry public policy to new heights of resilience and creativity.