Browsing by Subject "Agent-based simulation"

Now showing 1 - 2 of 2

Simulating knowledge diffusion in four structurally distinct networks
an agent-based simulation model
(2015) Kudic, Muhamed; Mueller, Matthias; Bogner, Kristina; Buchmann, Tobias
In our work we adopt a structural perspective and apply an agent-based simulation approach to analyse knowledge diffusion processes in four structurally distinct networks. The aim of this paper is to gain an in-depth understanding of how network characteristics, such as path length, cliquishness and the distribution and asymmetry of degree centrality affect the knowledge distribution properties of the system. Our results show – in line with the results of Cowan and Jonard (2007) – that an asymmetric or skewed degree distribution actually can have a negative impact on a network’s knowledge diffusion performance in case of a barter trade knowledge diffusion process. Their key argument is that stars rapidly acquire so much knowledge that they interrupt the trading process at an early stage, which finally disconnects the network. However, our findings reveal that stars cannot be the sole explanation for negative effects on the diffusion properties of a network. In contrast, interestingly and quite surprisingly, our simulation results led to the conclusion that in particular very small, inadequately embedded agents can be a bottleneck for the efficient diffusion of knowledge throughout the networks.
The effect of project funding on innovative performance
an agent-based simulation model
(2015) Bogner, Kristina
Analyzing the effect of Direct Project Funding (DPF) on innovative performance of economic agents is a major challenge for innovation economists and policy makers who must give valid policy recommendations and decide on the allocation of financial resources. An approach that becomes more and more important is the use of agent-based modeling in analyzing innovative performance of market players. In this paper, an agentbased percolation model is used to investigate the effects of project funding on innovative performance in terms of the maximum technological frontier that can be reached as well as in terms of the number of innovations generated by firms. The model results show that firms which participate in subsidized projects outperform firms that do not participate in subsidized projects, especially in increasingly complex technological fields. However, the worse performance of firms that do not participate in subsidized projects can be offset by an increase in the firms’ financial resources. Hence, the model indicates, the effect of project funding is a purely financial one and might even have negative effects on innovative performance. This is the case if, for instance, a high number of funded research projects disturbs firms’ paths through the technology space. Following the results of the model, project funding is most effective and important in increasingly complex technology spaces and less effective and important in less complex technology spaces. Moreover, the model results show, other financial resources as venture capital can substitute for direct project funding.