1. Theo Gutman-Solo

3. Economic Assumptions Assumptions made in model Zero sum game
Production and wealth are measured by distribution
Bias towards basic supply & demand
Efficient Market
Inaccurate assumption but required to avoid complexity issues
Minimal Transportation and costs

4. Methodology Generate random world Evolve world Each Time-step
Businesses
Choose countries of production and consumption
Take money from consumer’s country and give money to producer’s country (current account)
Difference (profit) is reinvested (capital account)
Countries
Reevaluate status (GDP, CPI)

5. How to achieve this? Agent based model
Computer model that simulates actions of autonomous individuals to see how their interactions affect the system as a whole

6. Methodology - Modeling
Agents
Business
Production
Incorporation
Marketing
Landscape
Countries
CPI
GDP
Languages
Java
C++
Netlogo

7. How businesses choose countries production, incorporation, and markets
Heuristic
How businesses choose countries production, incorporation, and markets

8. Production & markets Incorporation
Production & markets
Each timestep model weights countries by potential profit and assigns businesses
Incorporation
Random, assigned with creation of world
Evaluates countries based on investment profits
Depending on how risk aversion of business assigns profit

9. Sample Wealth Flow Business Country of Sale Country of Production
Country of incorporation
Country for investment

10. Possible Future Developments
Economic
Include liquidity bias scalar
Dynamic Business
Exploration of countries economic policies
Implement new trade theory
Programming
Agent setup is quite wasteful, changing information storing procedure could allow for more accurate simulation

11. Maps which deform country size to represent a particular value
Cartograms
Maps which deform country size to represent a particular value