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Computational Economics and Economic Theory: Substitutes or Complements

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Kenneth L. Judd

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Abstract

This essay examines the idea and potential of a computational approach to theory,' discusses methodological issues raised by such computational methods, and outlines the problems associated with the dissemination of computational methods and the exposition of computational results. We argue that the study of a theory need not be confined to proving theorems, that current and future computer technologies create new possibilities for theoretical analysis, and that by resolving these issues we can create an intellectual atmosphere in which computational methods will make substantial contributions to economic analysis.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Technical Working Papers with number 0208.

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Date of creation: Feb 1997
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Handle: RePEc:nbr:nberte:0208

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C63 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Computational Techniques

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  1. William A. Brock, 1993. "Pathways to randomness in the economy: Emergent nonlinearity and chaos in economics and finance," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 8(1), pages 3-55.
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  2. Budd, Christopher & Harris, Christopher & Vickers, John, 1993. "A Model of the Evolution of Duopoly: Does the Asymmetry between Firms Tend to Increase or Decrease?," Review of Economic Studies, Blackwell Publishing, vol. 60(3), pages 543-73, July. [Downloadable!] (restricted)
  3. Canova, Fabio, 1995. "Sensitivity Analysis and Model Evaluation in Simulated Dynamic General Equilibrium Economies," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 36(2), pages 477-501, May. [Downloadable!] (restricted)
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  7. Chiappori, P.A. & Geoffard, P.Y. & Guesnerie, R., 1990. "Sunspot Fluctuations around a Steady State: The Case of Multidimensional One-Step forward Looking Economic Models," DELTA Working Papers 90-02, DELTA (Ecole normale supérieure).
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  1. repec:bep:maccon:v:7:y:2007:i:1:p:1524-1524 is not listed on IDEAS
  2. P. Jean-Jacques Herings & Felix Kubler, 2000. "The Robustness of the CAPM-A Computational Approach," Econometric Society World Congress 2000 Contributed Papers 0400, Econometric Society. [Downloadable!]
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  3. Faust, Jon & Svensson, Lars E O, 1999. "The Equilibrium Degree of Transparency and Control in Monetary Policy," CEPR Discussion Papers 2195, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
    Other versions:
  4. Kolen, Antoon, 2006. "A genetic algorithm for the partial binary constraint satisfaction problem: an application to a frequency assignment problem," Research Memoranda 045, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization. [Downloadable!]
  5. R. Quentin Grafton & Pham Van Ha & Tom Kompas, 2004. "Saving the Seas: The Economic Justification for Marine Reserves," Economics and Environment Network Working Papers 0402, Australian National University, Economics and Environment Network. [Downloadable!]
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  6. Wagener, F.O.O., 2004. "Skiba points for small discount rates," CeNDEF Working Papers 04-09, Universiteit van Amsterdam, Center for Nonlinear Dynamics in Economics and Finance. [Downloadable!]
  7. John Duffy, 2004. "Agent-Based Models and Human Subject Experiments," Computational Economics 0412001, EconWPA. [Downloadable!]
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  8. Herings,P. Jean-Jacques, 2002. "Universally Stable Adjustment Processes - A Unifying Approach -," Research Memoranda 006, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization. [Downloadable!]
    Other versions:
  9. repec:bep:maccon:v:6:y:2006:i:1:p:1356-1356 is not listed on IDEAS
  10. Herings,P. Jean-Jacques & Peeters,Ronald J.A.P, 2000. "Stationary Equilibria in Stochastic Games: Structure, Selection, and Computation," Research Memoranda 004, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization. [Downloadable!]
    Other versions:
  11. Kellermann, Konrad & Sahrbacher, Christoph & Balmann, Alfons B., 2008. "Land Markets In Agent Based Models Of Structural Change," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6647, European Association of Agricultural Economists. [Downloadable!]
  12. Nicolaas J. Vriend, 1996. "A Model of Market-Making," Economics Working Papers 184, Department of Economics and Business, Universitat Pompeu Fabra. [Downloadable!]
  13. Peeters,Ronald & Schinkel,Maarten Pieter & Herings,P. Jean-Jacques, 2001. "Intertemporal Market Divison," Research Memoranda 011, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization. [Downloadable!]
  14. R. Quentin Grafton & Tom Kompas & Phan Van Ha, 2005. "The Economic Payoffs from Marine Reserves: Resource Rents in a Stochastic Environment," Microeconomics Working Papers 580, East Asian Bureau of Economic Research. [Downloadable!]
    Other versions:
  15. Roberto Leombruni, 2002. "The Methodological Status of Agent-Based Simulations," LABORatorio R. Revelli Working Papers Series 19, LABORatorio R. Revelli, Centre for Employment Studies. [Downloadable!]
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