Causal Loop

A causal loop is a situation where a change in one factor affects another, which in turn influences the original factor, creating a cycle. Think of it like a feedback loop: for example, increased investment in education improves skills, leading to better jobs, which generate more income and enable further investment in education. This cycle reinforces itself, either positively (amplifying effects) or negatively (stabilizing). Causal loops help us understand how different elements in a system are interconnected and how actions can have ripple effects over time.