Titlebook: Microsimulation Modelling of the Corporate Firm; Exploring Micro-Macr Frank W. Tongeren Book 1995 Springer-Verlag Berlin Heidelberg 1995 Al

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0075-8442 seholds in the USA, and those of Gunnar Eliasson and his associates on simulatio~ of Swedish firms. Their approaches promised the exciting possibility to represent an by simulating the behaviour of individual microeconomic entire economic system units on a computer. The construction of a large scale

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Simulation of structural changes at the sector level,t the market can bear’. Each firm is concerned with improving its profits, given its expectations on the market environment. The simulations reflect a gradual adaptation to demand and cost conditions, rather than an active rivalry among incumbent firms.

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Summary and appraisal,e gap between partial theories of the firm which are typical of industrial economics and applied general equilibrium modelling, this study has resulted in an operational microsimulation model for individual firms within a circular flow model. Dutch firms and the Dutch economy have served as case studies.

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A model of investment decisions,as to be compensated by replacement investment in order to maintain capacity. In the second place, the firm must be continuously aware of its market prospects and adjust its production possibilities accordingly.