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Agent Based Models ( Abm )

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Agents Based Models (ABM) - Introduction to ABM A model is a representation of a real system and thus, it is an abstraction of the reality 4. “The word “modeling” comes from the Latin word modellus which describes a typical human way of coping with the reality” (Schichl, n.d.). Models can take various forms such as mathematical equation, drawing, computer code, etc. However, there is a common purpose of all designed models, which is to simplify the complexity presented in the real system or problem. Therefore, models usually contain only the main aspects of the real system (not all details). Macal and North (2006) believe that ‘‘There is no universal agreement on the precise definition of the term ‘agent’, although definitions tend to agree on more points than they disagree’’. It seems very complicated to extract agent characteristics from the literature in a consistent and constant perspective, because they are utilised in different ways (Bonabeau 2002). Agent-based modelling (ABM) is able to simulate the individual activities by measuring their behaviour and results over time for developing models of cities (Crooks 2006). Agent-based modeling and simulation (ABMS) is a new approach to modeling systems comprised of autonomous, interacting agents. Agent-based modeling is a new analytical method for the social sciences, but one that is quickly becoming popular. ABMS promises to have far-reaching effects on the way that businesses use computers to support decision-making and

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