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Price Competition with Particle Swarm Optimization: An Agent-Based Artificial Model

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  • Zhang, Tong
  • Brorsen, B. Wade

Abstract

This study instructs an artificial price competition market to examine the impact of capacity constraints on the behavior of packers. Results show when there are cattle left for the lowest bidder after all other packers finishing their procurement, the capacity constraints make the price lower than the perfect competition level.

Suggested Citation

  • Zhang, Tong & Brorsen, B. Wade, 2008. "Price Competition with Particle Swarm Optimization: An Agent-Based Artificial Model," 2008 Annual Meeting, February 2-6, 2008, Dallas, Texas 6780, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saeaed:6780
    DOI: 10.22004/ag.econ.6780
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    References listed on IDEAS

    as
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    4. Kutschinski, Erich & Uthmann, Thomas & Polani, Daniel, 2003. "Learning competitive pricing strategies by multi-agent reinforcement learning," Journal of Economic Dynamics and Control, Elsevier, vol. 27(11), pages 2207-2218.
    5. Vriend, Nicolaas J., 2000. "An illustration of the essential difference between individual and social learning, and its consequences for computational analyses," Journal of Economic Dynamics and Control, Elsevier, vol. 24(1), pages 1-19, January.
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    Full references (including those not matched with items on IDEAS)

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    Keywords

    Livestock Production/Industries; Research Methods/ Statistical Methods;

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