Agent-Based ModelSIM

ModelSIM is the simplest sectoral flow model of a , non-government monetary system described by the late, great, & Marc Lavoie in their book 'Monetary Economics: An Integrated Approach to Credit, Money, Income, Production and Wealth'.

Wynne Godley

[...] the world's problems of which are serious will not be solved by market forces alone nor even principally by them. Something else has to be done.

Monetary System Model Development

Agent-based ModelSIM is an interpretation of Godley & Lavoie's ModelSIM. Agent-based ModelSIM will solve computationally; not as systems of equations. The model must remain consistent with stock-flow accounting. Sectoral agents (best described as partially understood metaphors) are bound by monetary system flows.

Policy variables are government expenditure (a stimulus quantity) and a government mandated taxation rate (a percentage). Change in both expenditure and taxation determine the quantity of money (net financial assets) that flow towards or away from the non-government sector. This is the government sector fiscal balance, either in surplus (a money flow away from the non-government sector), or more typically, in deficit (a money flow toward the non-government sector).

Peruse ModelSIM accounting.

Real-World Expenditures

The model consumes real-world historical government expenditure time-series data in order to produce system cycles over time.

Strong Money, Fair Taxes

The model consumes real-world historical and forecast expenditure time-series data in order to produce system cycles over time.