"Business Cycle Dynamics with Initial Conditions Inherited from a Fuzzy Logic Model"

Abstract

"This paper constructs a dynamical framework for predicting inflationary peaks and business cycle dynamics from linguistically communicated macroeconomic conditions. We employ the Mamdani-Assilian fuzzy inference model to define a language of economic variables and policy messages whose semantic interactions determine inflation levels. The induced fuzzy valuation space inherits a metrizable topology to parameterize a multidimensional logistic dynamical system. The system exhibits semi-stable equilibria corresponding to cyclical peaks, allowing a topological characterization of business cycle semi-stable fixed points. We provide rigorous bifurcation analysis demonstrating period-doubling routes to chaos and establish conditions for the emergence of complex inflationary dynamics. © 2026 IEEE."