cumulative causation


An element of the economic theories of Swedish Nobel Laureate economist Gunnar Myrdal that conveys the ripple effects of changes in an economy. Myrdal stated that any change, such as new businesses opening in an area, will cause a cascade of other changes, and that economic improvement in one area implies economic decline in other areas.

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You need to try and figure out what the cumulative causation will be and be ready to adapt to it if it comes.

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There would be some cumulative causation that we had to look out for and I told everyone that, including the manager.

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When the gigantic Super Wal-Mart opened, everyone realized that cumulative causation would mean that the small stores downtown would go out of business.

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Cumulative Bulletin (CB) cumulative claim rate