It's based on a Two-Sector Migration Model inspired by Harris and Todaro and applied Agent Based Simulation aligned to Axtell’s Emergence of Firms to build "An n-Sector Migration Simulation".

Here is the abstract:
"Workers, considering costs of migration, tend to migrate to sectors where they expect higher wages. In revers, firms trying to increase profits, migrate to sectors with lower wages. The result of their combined movement determins wages in each sector. This Agent Based Simulation applies an inductive behavior models with various strategies for wage expectations, and yields patterns of migration in an n-sector scenario."

Here are some results:

Download: http://www.derbaum.com/n-sector-migration.pdf

Labels: Economics, Patrick, TU

posted on Thursday, June 19, 2008 link to this post