Agent-based modeling: a paradigm shifting in finance and economics? by
Annalisa Fabretti

Annalisa Fabretti

Finance and economy are complex systems where many entities with different properties and roles interact continuously. The competitive equilibrium, developed by Arrow and Debreu in 1951, has been, to this day, the fundamental paradigm under which economists work. The traditional approach uses analytically tractable models with a representative perfectly rational agent, usually a profit maximizer. At the same time, in recent decades, economics and finance are experiencing a new approach, mostly known as agent-based computational economics, which some commentators claim is a paradigm shift attempt: from a representative rational agent approach towards a behavioral agent-based approach in which heterogeneous agents are seen as boundedly rational.
In this meeting of the Phinance Online Seminars, Annalisa Fabretti will present agent-based models encompassing their applications in economics and finance. She will discuss whether such an approach can contribute to a paradigm shift.

17:00 CET, 23 November 2022



Annalisa Fabretti
Roma – Tor Vergata


Chair Emiliano Ippoliti, Sapienza University of Rome

Phinance Online Seminars are organized by Phinance, a Philosophy & Finance Network

Open to the public. No registration required
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