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Behavioral Modeling in Micro Simulation Models. A Survey

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  • N. Anders Klevmarken

Abstract

Micro-simulation is an approach to analyze the impact of economic and social policy on the distribution of target variables, not just on the means. It easily includes the true policy instruments and handles highly nonlinear relations. Most models currently used in policy analysis are static and they do not include behavioral response to policy changes, just their first order effects. There is, however, an increasing demand for dynamic models including behavioral responses. This paper surveys current theory and practice in micro-simulation with an emphasis on behavioral modeling, and discusses issues of model building, data availability, estimation, testing and validation.

Suggested Citation

  • N. Anders Klevmarken, 1997. "Behavioral Modeling in Micro Simulation Models. A Survey," Working Paper Series 1997:31, Uppsala University, Department of Economics.
  • Handle: RePEc:hhs:uunewp:1997_031
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    Cited by:

    1. Terance J. Rephann & Kalle Mäkilä & Einar Holm, 2005. "Microsimulation for Local Impact Analysis: an Application to Plant Shutdown," Journal of Regional Science, Wiley Blackwell, vol. 45(1), pages 183-222.
    2. Martin Spielauer, 2004. "Intergenerational Educational Transmission within Families: An Analysis and Microsimulation Projection for Austria," Vienna Yearbook of Population Research, Vienna Institute of Demography (VID) of the Austrian Academy of Sciences in Vienna, vol. 2(1), pages 253-282.
    3. Gaël Dupont & Cyrille Hagneré & Vincent Touzé, 2003. "Les modèles de microsimulation dynamique dans l'analyse des réformes des systèmes de retraites : une tentative de bilan," Economie & Prévision, La Documentation Française, vol. 0(4), pages 167-191.
    4. Tilmann Rave & Ursula Triebswetter, 2006. "Ökonomische Auswirkungen umweltpolitischer Regulierungen : eine Machbarkeitsstudie vor dem Hintergrund der Anforderungen der Richtlinie 96/61/EG über die integrierte Vermeidung und Verminderung von Um," ifo Forschungsberichte, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 30.
    5. Anne-Gisèle Privat, 2005. "L'avenir des retraites en France: Evalutation de l'impact des réformes de 1993 et de 2033 à l'aide du modèle de microsimulation Artémis," Sciences Po publications info:hdl:2441/f4rshpf3v1u, Sciences Po.
    6. Nicolas Hérault, 2009. "Les apports de la micro-simulation aux modèles d’équilibre général : application au cas de l’Afrique du Sud," Économie et Prévision, Programme National Persée, vol. 187(1), pages 123-135.
    7. Anna Klabunde & Frans Willekens, 2016. "Decision-Making in Agent-Based Models of Migration: State of the Art and Challenges," European Journal of Population, Springer;European Association for Population Studies, vol. 32(1), pages 73-97, February.
    8. Vaqar Ahmed & Cathal O'Donoghue, 2009. "Redistributive Effect of Personal Income Taxation in Pakistan," Working Papers 0143, National University of Ireland Galway, Department of Economics, revised 2009.
    9. Eugenio Zucchelli & Andrew M Jones & Nigel Rice, 2012. "The evaluation of health policies through dynamic microsimulation methods," International Journal of Microsimulation, International Microsimulation Association, vol. 5(1), pages 2-20.
    10. Jinjing Li & Cathal O'Donoghue, 2013. "A survey of dynamic microsimulation models: uses, model structure and methodology," International Journal of Microsimulation, International Microsimulation Association, vol. 6(2), pages 3-55.
    11. Martin Spielauer & René Houle, 2004. "Sample size and statistical significance of hazard regression parameters. An exploration by means of Monte Carlo simulation of four transition models based on Hungarian GGS data," MPIDR Working Papers WP-2004-020, Max Planck Institute for Demographic Research, Rostock, Germany.
    12. Zucchelli, E & Jones, A.M & Rice, N, 2010. "The evaluation of health policies through microsimulation methods," Health, Econometrics and Data Group (HEDG) Working Papers 10/03, HEDG, c/o Department of Economics, University of York.
    13. repec:spo:wpecon:info:hdl:2441/f4rshpf3v1umfa09lat214kj4 is not listed on IDEAS
    14. Tony Lawson, 2016. "How the Ageing Population Contributes to UK Economic Activity: A Microsimulation Analysis," Scottish Journal of Political Economy, Scottish Economic Society, vol. 63(5), pages 497-518, November.

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    JEL classification:

    • C0 - Mathematical and Quantitative Methods - - General

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