Positive Feedback Loops
System dynamics where outputs amplify inputs, creating self-reinforcing cycles that can lead to rapid change, explosion, or collapse.
Used in the Books
This term appears in 11 chapters:
"..., what's trending) and moves attention toward them. No central algorithm required - just local interactions creating emergent behavior. But like all positive feedback loops, Twitter's growth eventually hit limits. The service attracted trolls, bots, and bad actors who exploited the amplification mechanics."
"...ion theory and the peacock's tail puzzle, Zahavi's handicap principle (1975, costly signaling and honest signals), Fisher's runaway selection theory (positive feedback loops, arbitrary preferences, Irish Elk antlers), good genes hypothesis (signals correlating with actual fitness/quality), costly signaling in luxury marke..."
"...nd. Network effects: The more members, the better Costco's buying power with suppliers, the better the prices, the more valuable the membership. Positive feedback loop. For the first 15-20 years (1983-2000), Costco grew slowly. Revenue grew 15-20% annually - good but not explosive."
"... time to reach threshold varies based on advance rate and environmental conditions (warmer water destabilizes ice faster, accelerating calving). Positive Feedback Loops: Why Calving Accelerates Columbia Glacier in Alaska was stable for centuries. From 1790s-1980s, the terminus remained at roughly the same position."
"... and using proceeds to acquire more land and borrow more. This model worked as long as credit remained available and property prices rose, creating a positive feedback loop. The company's debt-to-equity ratio fluctuated wildly - rising from 100% to 240% during rapid expansion phases, falling when asset sales reduced debt..."
And 6 more chapters...
Biological Context
Fever increases metabolic rate which increases heat production. Predator-prey cycles can spiral to extinction. Population explosions show positive feedback. Biological systems typically include negative feedback to constrain positive loops.
Business Application
Network effects are positive feedback: more users attract more users. Viral growth, bank runs, and market bubbles all involve positive feedback. The challenge is igniting beneficial loops and dampening destructive ones.