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1. General info

The Agricultural Policy Simulator (AgriPoliS) is an agent-based model that can be used observe and analyse the effects of policies and shocks on farm structural change over time. The agents are heterogeneous typical farms of a region. The agents goal is to maximise their profits if they are a corporate farm, and their household income if they are a family farm. They exercise these decision with regard to their production, investments, factor use, and land rental. The environment are the farms, markets, and space. The agents interact via markets.

2. Land market

At the beginning of each iteration, agents are given the opportunity to rental bids on newly available plots of land. The agents decide how much to big on each plot based on the additional plot's expected returns. The highest bidder receives the plot.

3. Investment

Each agent then assesses whether they could expect to increase their profits by investing in new machinery or stables. If they expect a new investment to increase their profits, they invest.

4. Product

Each agents decides what to produce given their land, machinery, stables, and labour in order to maximise their profits or household income.

5. Exit ?

Finally, at the end of each iteration, the agents either continue on farming for another year or exit agriculture. If an agent can expect to earn more off-farm and through renting out their owned land, the farm closes. If the agent expects to earn more from farming, they continue for another iteration.

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Funded by
German Research Foundation
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