Development Economics X Paper Model Thirty-Five
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This paper introduces Metabolic Efficiency Theory (MET), a novel economic framework for cost reduction, inspired by glucagon-like peptide-1 (GLP-1) agonists’ efficacy. We model resource flows as a directed graph with weighted edges capturing costs and friction. Unlike austerity’s linear cuts, MET’s Systemic Efficiency Amplifier (SEA)—a policy or reform—targets high-influence nodes, yielding nonlinear savings. We derive analytical bounds, proving SEA outperforms austerity and linear savings in skewed networks. A cascade threshold, informed by percolation theory, amplifies gains system-wide. Theoretical case studies on fiscal consolidation, federal expenditure, and university administration demonstrate SEA’s efficiency, offering an interdisciplinary paradigm for policy design.
Opoku-Agyemang, Kweku (2025). "Metabolic Efficiency Theory: Nonlinear Cost Reduction through Systemic Amplification." Development Economics X Paper Model Thirty-Five.
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