In the paper, we simulate a heterogeneous-agent version of the wage-posting model as derived by Montgomery (1991) with homogeneous workers and differently-productive employers. Wage policy of particular employer is positively correlated with employer’s productivity level and the wage policy of...

In the paper we test a homogenous agent version of the Montgomery's (1991) non-cooperative wage posting model. The inclusion of intrinsic costs, related to the uncertainty when changing the alternative agents are already using, alters the outcome of the model in two respects: firstly, it...

The model of social network is used to analyze the impact of the power of labor unions in the labor relations. We find that labor union capable to affect a pecuniary compensation of shirking employees lessens the motivation of employees to work and improve to the unionization rate. As a result,...

We propose a network-based model of credit contagion and examine the e�ects of idiosyncratic and systemic shocks to individual banks and the banking system. The banking system is built as a network in which banks are connected to each other through the interbank market. The microstructure...

Paper approximates long run implications of different tax schedules, i.e. using Chebyshev collocation. Model argues in favor of flat taxes and operates within an Arrow - Debreu environment. We approximate steady state Euler equations of an infinitely-lived-representative-agent exogenous growth...

We simulate social network games of a portfolio selection of agents to analyze how knowledge, preferences of agents and their level of omniscience affect their decision-making. The key feature of the paper is that preferences and the level of omniscience of agents very much determine the ways...

In the paper, I apply the small world network approach to analyze how investors manage their portfolios. This is done by a discrete time version evolutionary game of two kinds of interacting agents (risk-dominant and risk-averse) and two kinds of assets (risk-free and risky asset). Agents manage...

In the paper, I simulate the games with a joint presence of 95% VaR-rule and return-rule groups of agents. Simulations highlight the level of omniscience, next being the rule, which agents follow at the decision-making, and the third the presence of liquidity agents in the game. Omniscient...

In the paper, I simulate the social network games of a portfolio selection where agents consider VaR when managing their portfolios. Such agents behave quite differently from the agents considering only the expected returns of the alternatives that are available to them in time. The level of...

We simulate social network games of a portfolio selection to analyze the role of liquidity individuals for the developments of the games. The key feature of the paper is that the role of such liquidity individuals is significant especially under omniscient individuals, whereas a little less...