The economy remains uncertain in constant flux and development, new practices and advancements threaten its balance constantly. However, finding and proving future impacts of new inventions or even entire industries require high quality evidence that is reliable. Economics is a science as it involves applying specific evidence to theories. Here we regard blockchain as
an invention in our economy.
According to Bettina Warburg's 2016 TED Talk discussion on blockchain technology, it is associated with a reduction of
uncertainty in economics in its ability to create or enhance transparency in most businesses. Warburg continues with examples of blockchain reduces tension, writing binding contracts and codes, however, it remains questionable if the evidence could be used in making blockchain economics decisions. Therefore, is essential to analyze the quality and relevance of evidence she established. The Journal of Health Economics provides that quality and relevance of evidence are critical to making decisions in economics.
There is strong evidence that shows that blockchain will improve transparency in economies. Blockchain simplifies the process of establishing the owner of a product, and the previous owners, even including the intellectual property custodians. Critically, this reduces the potential for conflict created by deception or corruption in business – a typical source of uncertainty. Overall, blockchain operates similarly to existing institutions such as banks and corporations in the post internet world. Thus, its primary goal is to reduce uncertainty and complexity in economies (Warburg). It remains accessible for businesses to engage in transactions if they have a registry of who owns and transacts a good or service.
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