@techreport{Wright2008Implicit,
abstract = {A large market economy has a huge number of degrees of freedom with weak microlevel coordination. The implicit microfoundations' approach assumes this property of micro-level interactions more strongly conditions macro-level outcomes compared to the precise details of individual choice behavior; that is, the particle' nature of individuals dominates their mechanical' nature. So rather than taking an explicit microfoundations' approach, in which individuals are represented as white-box' sources of fully-specified optimizing behavior (rational agents), we instead represent individuals as black box' sources of unpredictable noise subject to objective constraints (zero-intelligence agents). To illustrate the potential of the approach we examine a parsimonious, agent-based macroeconomic model with implicit microfoundations. It generates many of the reported empirical distributions of capitalist economies, including the distribution of income, firm sizes, firm growth, GDP and recessions.},
address = {Kiel},
author = {Ian Wright},
copyright = {http://creativecommons.org/licenses/by-nc/2.0/de/deed.en},
keywords = {E11; P16; D50; C63; B41; A12; 330; Micro foundations; macroeconomics; aggregation; power laws; Mikro\"{o}konomische Fundierung; Agent-based Model; Aggregation; Makro\"{o}konomik; Marktwirtschaft; Wahrscheinlichkeitsrechnung; Theorie},
language = {eng},
number = {2008-41},
publisher = {Kiel Institute for the World Economy (IfW)},
title = {Implicit Microfoundations for Macroeconomics},
type = {Economics Discussion Papers / Institut f\"{u}r Weltwirtschaft},
url = {http://hdl.handle.net/10419/27477},
year = {2008}
}
