Environmental policy and modelling in evolutionary economics

17-11-2006 | Publication

Evolutionary economics is a systems approach, where activities at the micro-level lead to macro-level changes. Such tools are especially useful for the assessment of environmental policies, which are generally aimed at bringing about large-scale changes. However, their instruments will need to address agents at the microlevel. In a workshop organised by MNP in Amsterdam in May 2006, a group of experts discussed the opportunities for and impediments to the development of evolutionary economic modelling tools for environmental policy research. Environmental policy and modelling in evolutionary economics Evolutionary economics is an approach that focuses on dynamic and multiple equilibria, rather than short-term static balances. Evolutionary economic modelling often involves exploratory simulations, as opposed to predictive projections of the future. Models based on evolutionary-economic principles may either incorporate a generic perspective, or focus on a specific technology, mechanism or population of agents. The essays from the workshop that are compiled in this report each take a different perspective in exploring the opportunities for evolutionary modelling