César García-Díaz

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Exploring Transitions towards Sustainable Construction

Cesar Garcia-Diaz Jesus Rosales-Carreon | Published Wed Oct 30 18:00:35 2013 | Last modified Sat Jan 31 16:40:31 2015

This model illustrates actor interaction in the construction sector, according to information gathered in NL. It offers a simple frame to represent diverse interests, interdependencies and effects on the number of built sustainable houses.

Micro-level Adaptation, Macro-level Selection, and the Dynamics of Market Partitioning

Cesar Garcia-Diaz | Published Mon Oct 19 22:49:01 2015 | Last modified Mon Oct 19 22:56:39 2015

This model simulates the emergence of a dual market structure from firm-level interaction. Firms are profit-seeking, and demand is represented by a unimodal distribution of consumers along a set of taste positions.

This a model developed as a part of the paper Mejía, G. & García-Díaz, C. (2018). Market-level effects of firm-level adaptation and intermediation in networked markets of fresh foods: a case study in Colombia. Agricultural Systems 160: 132-142.

It simulates the competition dynamics of the potato market in Bogotá, Colombia. The model explores the economic impact of intermediary actors on the potato supply chain.

In this agent-based model, agents decide to adopt a new product according to a utility function that depends on two kinds of social influences. First, there is a local influence exerted on an agent by her closest neighbors that have already adopted, and also by herself if she feels the product suits her personal needs. Second, there is a global influence which leads agents to adopt when they become aware of emerging trends happening in the system. For this, we endow agents with a reflexive capacity that allows them to recognize a trend, even if they can not perceive a significant change in their neighborhood.

Results reveal the appearance of slowdown periods along the adoption rate curve, in contrast with the classic stylized bell-shaped behavior. Results also show that network structure plays an important role in the effect of reflexivity: while some structures (e.g., scale-free networks) may amplify it, others (e.g., small-world structure) weaken such an effect.

This model inspects the performance of firms as the product attribute space changes, which evolves as a consequence of firms’ actions. Firms may create new product variants by dragging demand from other existing variants. Firms decide whether to open new product variants, to invade existing ones, or to keep their variant portfolio. At each variant there is a Cournot competition each round. Competition is nested since many firms compete at many variants simultaneously, affecting firm composition at each location (variant).

After the Cournot outcomes, at each round firms decide whether to (i) keep their existing product variant niche, (ii) invade an existing variant, (iii) create a new variant, or (iv) abandon a variant. Firms’ profits across their niche take into consideration the niche-width cost and the cost of opening a new variant.

Under development.

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