ROBUST MATHEMATICAL FORMULATION AND PROBABILISTIC DESCRIPTION OF AGENT-BASED COMPUTATIONAL ECONOMIC MARKET MODELS

In science and especially in economics, agent-based modeling has become a widely used modeling approach. These models are often formulated as a large system of difference equations. In this study, we discuss two aspects, numerical modeling and the probabilistic description for two agent-based computational economic market models: the Levy–Levy–Solomon model and the Franke–Westerhoff model. We derive time-continuous formulations of both models, and in particular, we discuss the impact of the time-scaling on the model behavior for the Levy–Levy–Solomon model. For the Franke–Westerhoff model, we proof that a constraint required in the original model is not necessary for stability of the time-continuous model. It is shown that a semi-implicit discretization of the time-continuous system preserves this unconditional stability. In addition, this semi-implicit discretization can be computed at cost comparable to the original model. Furthermore, we discuss possible probabilistic descriptions of time-continuous agent-based computational economic market models. Especially, we present the potential advantages of kinetic theory in order to derive mesoscopic descriptions of agent-based models. Exemplified, we show two probabilistic descriptions of the Levy–Levy–Solomon and Franke–Westerhoff model.

Technics, Time and the Internation: Bernard Stiegler’s Thought – A Dialogue with Daniel Ross

This interview with Bernard Stiegler’s long-time translator and collaborator, Daniel Ross, examines the connections between different periods of Stiegler’s work, thought, writing and activism. Moving from the three volumes of Technics and Time to the final large-scale collaborative project of The Internation, the discussion concentrates on Stiegler’s conceptualization of ‘protentionality’, hope and care for a world confronted by climate crises, entropy and computational economic reconfigurations of work, economy and imaginations for futural possibilities. The interview foreshadows the special issue on The Internation project planned by Bishop and Stiegler for TCS that will appear in the near future.

Critical Factors Influencing the Evolution of Companies’ Environmental Behavior: An Agent-Based Computational Economic Approach

Although a wealth of studies on companies’ environmental behavior exists, little is known about the factors with the greatest influence on the evolution of such behavior. Thus, employing empirical data on China and an agent-based simulation model, this study examines the evolution from defensive to preventive environmental behavior. The results show that community support is the most important factor in this process, followed by managers’ environmental awareness and companies’ financial ability. However, financial ability is the most significant factor in the evolution from preventive to enthusiastic environmental behavior, followed by managers’ environmental awareness and community support. Our identification of the most important factors can serve as a basis for decision makers to focus on improving the operational effectiveness of environmental policies.

Computational Economic Modeling of Migration

In this chapter an agent-based model of endogenously evolving migrant networks is developed to find and estimate the size of determinants of migration and return decisions. Individuals are connected by links, the strength of which declines over time and distance. Methodologically speaking, this chapter combines parameterization using data from the Mexican Migration Project with calibration. It is shown that expected earnings, an idiosyncratic home bias, network ties to other migrants, strength of links to the home country, and age have a significant impact on circular migration patterns over time. The model can reproduce spatial patterns of migration as well as the distribution of the number of trips of migrants. It can also be used for computational experiments and policy analysis.