AIMMS - Economic Exchange Equilibrium

Description

This example models an economic exchange of a number of goods between a number of agents.

Each agent initially owns an amount of each good, called the Endowment. The Utility function of each agent depends on:
- Gamma, which determines the elasticity of demand for a good
- UtilityWeight, which determines the relative weight of each good

The model computes the general equilibrium:
- Consumption (or allocation) of each good for each agent
- Prices at which the goods are traded
- Lambda, the marginal utility of wealth for each agent

Keywords

Utility Function, Duality

Industries

Services & Government

Model Types

Equilibrium, Nonlinear System

Download AIMMS Example

You can download an AIMMS example dealing with this problem via the link below, and run it after installing the AIMMS software. If you don't have an AIMMS license yet, you can download a free license of AIMMS.

ftp://ftp.aimms.com/pub/Download/Examples/Economic Exchange Equilibrium.aimmspack

Please make sure to save this file including the .aimmspack extension so that it can be opened by AIMMS.

This example application is a simplification of reality. Please do not hesitate to contact us to discuss how AIMMS enables you to build a complete optimization application that captures the full complexity of your problem.

Screenshot AIMMS Example

Economic Exchange Equilibrium