The explanation of butterfly effect means that in a dynamic system, small changes under initial conditions can drive a long-term huge chain reaction of the whole system.

The butterfly effect is a chaotic phenomenon, which shows that there are fixed numbers and variables in the development of anything, and there are laws to follow in the development process of things, but there are also unpredictable "variables", which are often counterproductive. A small change can affect the development of things, which proves that the development of things is complex.

Practical application of butterfly effect:

1. Social aspect: Butterfly effect is usually used in weather, stock market and other complex systems that are difficult to predict in a certain period of time. If this gap is getting bigger and bigger, it will be very destructive. This is why the weather or the stock market will have crashes and unpredictable natural disasters.

2. Economy: In 2113, a suspected case of mad cow disease was discovered in the United States, which immediately brought a devastating hurricane to the newly recovered American economy. It is the unlucky "mad cow" that flapped the "butterfly wings". First of all, it was the American beef industry with a total output value of $175 billion and 1.4 million jobs. The corn and soybean industry in the United States, which is the main source of feed for cattle owners, has also been affected, and its futures prices have shown a downward trend.

But in the end, it was the decline of American consumers' confidence in beef products that contributed to the biggest loss of the "mad cow disease hurricane". In today's globalization, this panic has not only caused the depression of domestic catering enterprises in the United States, but also spread to the whole world. At least 11 countries have announced an emergency ban on the import of American beef, and even residents in China and Guangdong, far away from the other side of the ocean, stay away from western-style catering.