What does this research mean for the field?

System failures across political, corporate, and market domains are driven by a reflexive closed-loop of individual self-preservation leading to collective crisis, which can only be broken if reform leaders possess sufficient bargaining power. Novelty: ClaimNovelty.METHODOLOGICAL. Consensus alignment: ConsensusAlignment.ESTABLISHES_NEW_DIRECTION.

What question did this study set out to answer?

To establish an integrated reflexive closed-loop analytical framework that bridges economics, management, and historical sociology in explaining structural system failure and reform deadlock.

September 14, 2026Open Access

Individual Rationality, Collective Failure and Reflexive Closed-Loop: A Study on the Unified Mechanism across Politics, Enterprises and Markets

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To establish an integrated reflexive closed-loop analytical framework that bridges economics, management, and historical sociology in explaining structural system failure and reform deadlock.
Synthesized interdisciplinary models of market reflexivity, corporate organizational rigidity, and late-dynastic interest-group lock-in.
Formulated a conceptual four-stage cycle spanning crisis anticipation, individual self-preservation, collective amplification, and crisis materialization.
Evaluated the explanatory power of the framework across historical reforms (Ming and Qing dynasties), corporate performance metric systems, and financial regulatory arbitrage.
Demonstrated that individual self-preservation remains an invariant game-theoretic mechanism that systematically accelerates and materializes anticipated collective crises.
Identified that overcoming reform gridlock does not require eliminating self-preservation motives, but depends on reform leadership holding sufficient bargaining chips to sever the negative feedback loop.

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Implication

Theoretical analysis reveals a unified reflexive closed loop driving collective failure across socio-economic systems, highlighting leadership leverage as essential to breaking reform deadlocks.

Cite This Study

Baowei Shan (2026) studied this question.

synapsesocial.com/papers/6aa7b3660926e14a848b23ff https://doi.org/10.17613/savd3-csq72

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Implication

Theoretical analysis reveals a unified reflexive closed loop driving collective failure across socio-economic systems, highlighting leadership leverage as essential to breaking reform deadlocks.

Individual Rationality, Collective Failure and Reflexive Closed-Loop: A Study on the Unified Mechanism across Politics, Enterprises and Markets

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Implication

Cite This Study

Individual Rationality, Collective Failure and Reflexive Closed-Loop: A Study on the Unified Mechanism across Politics, Enterprises and Markets

Key Points

Discussion

Implication

Cite This Study

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