Background Insights on Resource & Societal System
A simple introduction to systems thinking
We often hear statements like:
“Politics should control the economy”
“Science should guide decisions”
“Markets are broken”
“Institutions have lost their moral compass”
These statements assume that society works like a machine with a steering wheel. But in practice, society feels fragmented, resistant, and unpredictable.
Niklas Luhmann’s key insight is this:
Modern society has no single center and no master controller.
To understand why, he suggests we look at society as a set of systems, each doing a different job.
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This may sound strange at first, but it is essential.
Luhmann says:
society is not made of individuals
society is made of communications
People think, feel, and act — but society exists only when communication happens:
decisions
laws
payments
news
scientific claims
Society continues as long as communication continues.
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A subsystem is a large part of society that:
focuses on one specific task
uses one simple rule to decide what matters
operates independently from other subsystems
Think of subsystems as specialized “languages” society uses to deal with complexity.
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Not everything counts as a subsystem.
To qualify, a subsystem must meet three conditions.
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4.1 A clear job (function)
Each subsystem solves one essential problem for society.
Examples:
• How do we allocate scarce resources? → Economy
• How do we make collective decisions? → Politics
• How do we decide what is true? → Science
• How do we decide what is allowed? → Law
If two systems tried to do the same job, society would collapse into confusion.
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4.2 A simple yes/no rule (binary code)
Each subsystem uses a basic distinction to decide what counts.
Examples:
• Economy → payment / non-payment
• Law → legal / illegal
• Science → true / false
• Politics → power / no power
This rule is not a moral judgment.
It is a filter that reduces complexity so decisions can continue.
Without such a rule, the system would freeze.
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4.3 Independence (autonomy)
Subsystems:
• cannot be controlled directly by others
• follow their own logic
• resist outside interference
For example:
• money cannot decide what is legal
• political pressure cannot determine scientific truth
• moral outrage cannot replace legal procedures
This independence explains why coordination is difficult — but also why society remains stable.
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Here are the most important subsystems, explained simply:
Subsystem What it does Its basic rule
Economy Manages money and resources pay / not pay
Politics Makes collective decisions power / no power
Law Defines what is allowed legal / illegal
Science Produces reliable knowledge true / false
Education Trains people success / failure
Media Shapes public attention information / non-information
Art Creates meaning and perception art / non-art
Religion Deals with ultimate meaning transcendent / immanent
Health Deals with illness healthy / ill
None of these systems is “more important” than the others.
There is no hierarchy.
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Subsystems do not blend into one big system.
They remain separate — but they connect through interfaces called structural couplings.
Examples:
• Politics + Law → constitutions
• Economy + Law → contracts
• Science + Education → universities
• Economy + Media → advertising
• Politics + Media → public opinion
These couplings allow cooperation without giving up independence.
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Many people ask:
“Where is ethics or morality in all this?”
Luhmann’s answer is surprising:
• morality is not a subsystem
• it has no clear boundary
• it applies everywhere
Morality uses distinctions like good / bad, but:
• it does not have its own domain
• it often escalates conflicts instead of solving them
Morality influences society — but it does not organize it.
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This way of thinking explains:
• why reforms often fail
• why organizations are full of conflicts
• why “simple solutions” don’t work
• why society cannot be fully planned or controlled
It also explains why:
• companies struggle to align departments
• governments struggle to control markets
• experts struggle to convince politicians
• public debates become polarized
These are structural problems, not personal failures.
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Modern society is made of autonomous subsystems, each solving a different problem using its own logic, connected but never fully aligned.