Abstract
This chapter analyzes evolution to the end of furnishing a general theory of economic change. The analysis is applicable to both organisms and organizations. The general theory presented here is based on four analytical constructs: symmetry, scale, complexity, and collapse. Complexity is modeled as a force, similar to gravitation. Evolution is understood as a condition exhibiting an increase in morphological complexity. In the final analysis, economic change is linked to the structure of the political state. Pathologies of economic change, including morphostasis (in other words reaching a stage where growth and development are anemic due to the system's form and structure becoming static), necessitate a rethinking of political organization. Polycentricity and the principle of subsidiarity, with a praxis inspired by sovereign cities, are imperative for the continuous evolution of societies, and hence economies. In this future, nation-states become subsidiary. Sovereign cities replace nation-states on the ‘international' stage.