This quote comes from the late statistician George Box. What Box meant is that all models are imperfect representations of reality because the factors are by definition simplified. However, simplified factors can still be valuable for providing insight and understanding in predicting real-world phenomena. Technology cycles are the perfect example of Box’s quote. Scroll on …

Understanding technology innovation cycles has become increasingly critical. The innovation cycles coherently explain why industrialized nations have these days become mired in low growth. And even this low growth is for the most part being driven by deficit spending. The economic impact to the middle class could not be anymore acute as the majority are working for wages which are anything but living wages. This has naturally given rise to anger and populism.

Why? Click the textbox below to get the context and the condensed explanation for how technology cycles are the major driver for the world as it has evolved since the onset of the Industrial Revolution.