Policy simulation and agent-based modelling
Some decisions cannot wait for an evaluation, because the policy does not exist yet. Simulation lets you test it first. Agent-based models represent individual households, consumers or producers making decisions under their own budgets and constraints. Market-level outcomes then emerge from those decisions rather than being assumed.
Questions this answers
- If household incomes rose by a given amount, how would spending on food, housing or health change?
- Would a tax, subsidy or price change shift behaviour, and would part of the effect be lost to market price adjustments?
- Which groups gain or lose under each policy option?
- How sensitive are the results to the assumptions we are least sure of?
Methods
Agent-based and microsimulation models calibrated to survey and administrative data, scenario design, demand-system estimation, and structured sensitivity analysis. Each model is documented so that its assumptions can be challenged and changed.
Also in economics and strategy
Business strategy and economics
Growth strategy, market entry, pricing and business cases built on evidence.
Research investment review for producer organizations
Prioritize research portfolios and measure what past investments returned.
Market and economic reports
Recurring market intelligence and economic impact reports, written for decisions.