Loading...
Loading...
How recycling rates translate into dollars deployed — the number of times a unit of capital is put to work, T(R) = 1/(1 − R), truncated at N cycles. ⚠️ This is not the System Value Multiplier, which counts value created rather than dollars deployed: SVM = γ·TN(R). At R = 0.98 the two are 50× and 38.6× (γ = 1.7, N = 30), and the gap widens as R approaches 1.
Each cycle, R% of capital returns. The sum of this geometric series gives total impact.
At R=80%, you need 21 cycles to capture 99% of theoretical SVM.
SVM grows exponentially as R approaches 100%. Moving from 80% to 90% R doubles the multiplier (5× to 10×).
Most impact (90%+) is captured within 20-30 years for typical R factors. The theoretical limit is approached asymptotically.
| R Factor | T(R), infinite | 10 cycles | 30 cycles | Years to 90% |
|---|---|---|---|---|
| 50% | 2.00× | 2.00× | 2.00× | 4 |
| 60% | 2.50× | 2.48× | 2.50× | 5 |
| 70% | 3.33× | 3.24× | 3.33× | 7 |
| 80% | 5.00× | 4.46× | 4.99× | 11 |
| 90% | 10.0× | 6.51× | 9.58× | 22 |
| 95% | 20.0× | 8.03× | 15.7× | 45 |