Uncertainty, rationality and complexity in a multi-sectoral dynamic model: The dynamic stochastic generalized aggregation approach
The paper proposes an innovative approach for the analytical solution of agent-based models. The approach is termed dynamic stochastic generalized aggregation (DSGA) and is tested on a macroeconomic model articulated in a job and in a goods markets with a large number of heterogeneous and interacting agents (namely firms and workers). The agents heuristically adapt their expectations by interpreting the signals from the market and give rise to macroeconomic regularities. The model is...[Show more]
|Collections||ANU Research Publications|
|Source:||Journal of Economic Behavior & Organization|
|1-s2.0-S0167268117302809-main.pdf||2.29 MB||Adobe PDF||Request a copy|
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