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Related papers: Tipping points in macroeconomic Agent-Based models

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This paper introduces a Markov chain approach that allows a rigorous analysis of agent based opinion dynamics as well as other related agent based models (ABM). By viewing the ABM dynamics as a micro description of the process, we show how…

Adaptation and Self-Organizing Systems · Physics 2011-08-10 Sven Banisch , Ricardo Lima , Tanya Araújo

The optimal (`equilibrium') macroscopic properties of an economy with $N$ industries endowed with different technologies, $P$ commodities and one consumer are derived in the limit $N\to\infty$ with $n=N/P$ fixed using the replica method.…

Disordered Systems and Neural Networks · Physics 2008-12-02 A. De Martino , M. Marsili , I. Perez Castillo

Agent-based modelling (ABM) is a widespread approach to simulate complex systems. Advancements in computational processing and storage have facilitated the adoption of ABMs across many fields; however, ABMs face challenges that limit their…

Machine Learning · Computer Science 2026-03-06 M Lopes Alves , Joel Dyer , Doyne Farmer , Michael Wooldridge , Anisoara Calinescu

Agent Based Modeling (ABM) has become a widespread approach to model complex interactions. In this chapter after briefly summarizing some features of ABM the different approaches in modeling spatial interactions are discussed. It is…

Physics and Society · Physics 2014-05-06 Marcel Ausloos , Herbert Dawid , Ugo Merlone

Much research has been conducted arguing that tipping points at which complex systems experience phase transitions are difficult to identify. To test the existence of tipping points in financial markets, based on the alternating offer…

Computational Finance · Quantitative Finance 2016-08-24 Zvonko Kostanjcar , Stjepan Begusic , H. E. Stanley , Boris Podobnik

We study a linear threshold agent-based model (ABM) for the spread of political revolutions on social networks using empirical network data. We propose new techniques for building a hierarchy of simplified ordinary differential equation…

Physics and Society · Physics 2021-03-22 John C. Lang , Hans De Sterck

Generative artificial intelligence (AI) systems have transformed various industries by autonomously generating content that mimics human creativity. However, concerns about their social and economic consequences arise with widespread…

Computers and Society · Computer Science 2024-09-02 Joao Tiago Aparicio , Manuela Aparicio , Sofia Aparicio , Carlos J. Costa

Agent-based modeling is a powerful simulation technique to understand the collective behavior and microscopic interaction in complex financial systems. Recently, the concept for determining the key parameters of the agent-based models from…

Statistical Finance · Quantitative Finance 2017-03-21 T. T. Chen , B. Zheng , Y. Li , X. F. Jiang

Financial and economic history is strewn with bubbles and crashes, booms and busts, crises and upheavals of all sorts. Understanding the origin of these events is arguably one of the most important problems in economic theory. In this…

Statistical Mechanics · Physics 2015-06-11 Jean-Philippe Bouchaud

Quasi-equilibrium models for aggregate variables are widely-used throughout finance and economics. The validity of such models depends crucially upon assuming that the systems' participants behave both independently and in a Markovian…

Trading and Market Microstructure · Quantitative Finance 2012-09-21 Harbir Lamba

Agent-based models (ABMs) are increasingly used in macroeconomics, but their analysis still often relies on ad hoc Monte Carlo campaigns with heterogeneous statistical effort across parameter settings. We show how statistical model checking…

Multiagent Systems · Computer Science 2026-05-12 Stefano Blando , Giorgio Fagiolo , Mauro Napoletano , Tania Treibich , Andrea Vandin

We present an agent behavior based microscopic model that induces jumps, spikes and high volatility phases in the price process of a traded asset. We transfer dynamics of thermally activated jumps of an unexcited/ excited two state system…

Trading and Market Microstructure · Quantitative Finance 2017-02-01 Christof Henkel

We have used agent-based modeling as our numerical method to artificially simulate a dynamic real economy where agents are rational maximizers of an objective function of Cobb-Douglas type. The economy is characterised by heterogeneous…

Theoretical Economics · Economics 2024-01-17 Subhamon Supantha , Naresh Kumar Sharma

Tipping points (TP) in climate sub-systems are usually thought to occur at a well-defined, critical forcing parameter threshold, via destabilization of the system state by a single, dominant positive feedback. However, coupling to other…

Atmospheric and Oceanic Physics · Physics 2024-12-24 Johannes Lohmann , Henk A. Dijkstra , Markus Jochum , Valerio Lucarini , Peter D. Ditlevsen

Agent-based modelling (ABM) is a facet of wider Multi-Agent Systems (MAS) research that explores the collective behaviour of individual `agents', and the implications that their behaviour and interactions have for wider systemic behaviour.…

Multiagent Systems · Computer Science 2022-10-14 Nick Malleson , Mark Birkin , Daniel Birks , Jiaqi Ge , Alison Heppenstall , Ed Manley , Josie McCulloch , Patricia Ternes

We propose a formula of time-series prediction by means of three states random field Ising model (RFIM). At the economic crisis due to disasters or international disputes, the stock price suddenly drops. The macroscopic phenomena should be…

Trading and Market Microstructure · Quantitative Finance 2013-09-20 Mitsuaki Murota , Jun-ichi Inoue

The paper gives picture of enrichment to economic and financial system analysis using agent-based models as a form of advanced study for financial economic data post-statistical-data analysis and micro-simulation analysis. Theoretical…

Adaptation and Self-Organizing Systems · Physics 2008-12-02 Hokky Situngkir , Yohanes Surya

Understanding how an individual changes its attitude, belief, and opinion due to other people's social influences is vital because of its wide implications. A core methodology that is used to study the change of attitude under social…

Social and Information Networks · Computer Science 2023-06-07 Yun-Shiuan Chuang , Timothy T. Rogers

Inspired by recent ideas on how the analysis of complex financial risks can benefit from analogies with independent research areas, we propose an unorthodox framework for mapping microfinance credit risk---a major obstacle to the…

Risk Management · Quantitative Finance 2018-11-21 Joung-Hun Lee , Marko Jusup , Boris Podobnik , Yoh Iwasa

Rising inequalities around the globe bring into question our economic systems and the origin of such inequalities. Here we propose a toy agent-based model where each entity is simultaneously producing and consuming indivisible goods. We…

Disordered Systems and Neural Networks · Physics 2024-05-29 Nirbhay Patil , Jean-Philippe Bouchaud