CYBERNETICS OF ECONOMIC SYSTEMS AND MANAGEMENT

Cybernetics of Technology and Economic Growth

T. ISHIHARA

College of Engineering, University of Osaka Prefecture, Mozu-Unemachi

Sakai, Osaka (Japan)

In order to continue suitable economic growth of the world after the oil shock, the character of technology must be changed in order to consider related resources, pollution or other in­fluences or the whole human society. In this paper, the economic model containing the quantita­tive evaluation of cybernetic contribution by the technology system will be presented. By modify­ing the 'National Economic Plan for 197(}-1980' proposed by the Economic Planning Agency of the Japanese Government, the model containing the assessment of total system-oriented tech­nology will be considered to evaluate cybernetic contributions. The optimal conversion of the industrial structure is studied, and the international aspects of these problems are also discussed.

The world economy has expanded for 200 years after the industrial revolution, and human society has thus enjoyed greater prosperity.

Many kinds of human activity supported this great economic growth. Among them, innovations by the development of scientific technologies are the most important con­tinuing motive powers.

However, the advances of the economy are nowadays under a cloud. Some people maintain that the economic high growth has come to an end, since a slump cannot be removed after the oil shock, and others stress the necessity of changing the ideas about National Welfare.

In these situations we must reconsider the role of technology and its cybernetics. The aim of technologies must be changed from mass production and labor productivity (substitution of labor by capital) to technologies for a total system. The resource and environment assessment must be considered that accompanies every technology.

In this paper, the economic model containing the quantitative evaluation of the cybernetic contribution by the technology system will be presented. By modifying the "National Economic Plan for 1970-1980" proposed by the Economic Planning Agency of the Japanese Government, the model containing the assessment of technology explained above will be considered in order to evaluate cybernetic contributions. The optimal conversion of industrial structures is studied, and the international aspects of these problems are also discussed.

C.T.C.S.--G 85

J. Rose (ed.), Current Topics in Cybernetics and Systems© The World Organisation of General Systems and Cybernetics 1978