Regime shifts: early warnings

Open Access
Authors
Publication date 2013
Host editors
  • J. Shogren
Book title Encyclopedia of energy, natural resource, and environmental economics. - Vol. 2: Resources
ISBN
  • 9780080964522
Pages (from-to) 349-359
Publisher Amsterdam: Elsevier
Organisations
  • Faculty of Economics and Business (FEB) - Amsterdam School of Economics Research Institute (ASE-RI)
Abstract
A system that is at a steady state responds most of the time gradually to external changes. But in exceptional circumstances, it can exhibit a sudden ‘catastrophic’ shift to a different regime. It is of great practical interest to develop early warning indicators that signal the imminence of such a shift. A promising class of such indicators uses the universal fact that the average return time to a stable steady state after a small disturbance increases sharply close to a catastrophic shift. It is however important to realize that there are classes of dynamic regime shifts that cannot be predicted in this way. After reviewing the mathematical ideas behind these indicators, this article discusses their scope and their limitations.
Document type Chapter
Language English
Published at https://doi.org/10.1016/B978-0-12-375067-9.00156-X
Downloads
Regime shifts: early warnings (Submitted manuscript)
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