Agent-Based Simulation: Evaluating Economic Support Strategies for Vulnerable Populations
Discuss this preprint
Start a discussion What are Sciety discussions?Listed in
This article is not in any list yet, why not save it to one of your lists.Abstract
This study introduces an agent-based algebraic model of a closed economy to simulate monetary flow through iterative buy/sell transactions. The model explores both cohesive and fragmented societal structures, using synthetic data to examine various scenarios—particularly the effects of wealthy agents transferring a small portion of their wealth to vulnerable populations. Results show that in cohesive societies, money tends to circulate back to affluent agents, while fragmented societies exhibit distinct and less predictable economic patterns. By leveraging transaction-level data, this research presents a novel simulation framework for analyzing the interplay between societal cohesion and economic dynamics. It also offers a practical tool for researchers and decision-makers to test monetary interventions in a controlled, simulated environment.