Agent-based Macroeconomics
Dosi, Giovanni
Agent-based Macroeconomics /Giovanni Dosi and Andrea Roventini - 1 - UK: Cambridge University Press, 2025. - 109p.
This Element is about agent-based macroeconomics in general, and in particular about a family of evolutionary, agent-based models (ABMs), which are called 'Schumpeter meeting Keynes' (or K+S). The K+S models knit together 'Schumpeterian' endogenous processes of innovation with 'Keynesian' mechanisms of demand generation. As with all well-constructed ABMs, the K+S models are populated by a multiplicity of agents which interact on the grounds of quite simple, empirically based, behavioural rules, whose collective outcomes are 'emergent properties' which cannot be imputed to the intention of any single agent. After the K+S model is empirically validated, the impacts of different combinations of innovation, industrial, fiscal, and monetary policies for different labour-market regimes and inequality scenarios are assessed. The Element offers a new perspective on macroeconomics considering the economy as a complex evolving system
1. Introduction; 2. A dismal short story of macroeconomics: from Robinson Crusoe to complex evolutionary economies; 3. The emperor is still naked: the intrinsic limits of DSGE models; 4. Macroeconomic agent-based models; 5. The Schumpeter meeting Keynes model; 6. Empirical validation; 7. Policy experiments; 8. A brief discussion on the future of macroeconomics by way of a conclusion; References.
9781009414210
Macroeconomics/ Business cycles /Cycles economics/ Keynesian economics /Keynesian Macroeconomics /Mathematical models
339 / DOS/A
Agent-based Macroeconomics /Giovanni Dosi and Andrea Roventini - 1 - UK: Cambridge University Press, 2025. - 109p.
This Element is about agent-based macroeconomics in general, and in particular about a family of evolutionary, agent-based models (ABMs), which are called 'Schumpeter meeting Keynes' (or K+S). The K+S models knit together 'Schumpeterian' endogenous processes of innovation with 'Keynesian' mechanisms of demand generation. As with all well-constructed ABMs, the K+S models are populated by a multiplicity of agents which interact on the grounds of quite simple, empirically based, behavioural rules, whose collective outcomes are 'emergent properties' which cannot be imputed to the intention of any single agent. After the K+S model is empirically validated, the impacts of different combinations of innovation, industrial, fiscal, and monetary policies for different labour-market regimes and inequality scenarios are assessed. The Element offers a new perspective on macroeconomics considering the economy as a complex evolving system
1. Introduction; 2. A dismal short story of macroeconomics: from Robinson Crusoe to complex evolutionary economies; 3. The emperor is still naked: the intrinsic limits of DSGE models; 4. Macroeconomic agent-based models; 5. The Schumpeter meeting Keynes model; 6. Empirical validation; 7. Policy experiments; 8. A brief discussion on the future of macroeconomics by way of a conclusion; References.
9781009414210
Macroeconomics/ Business cycles /Cycles economics/ Keynesian economics /Keynesian Macroeconomics /Mathematical models
339 / DOS/A