Microsimulation - A survey of principles, developments and applications

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This paper surveys microsimulation as an instrument to analyze and forecast the individual impacts of economic and social policies. The basic principles of microsimulation, which is a tool for practical policy advising as well as for research and teaching, are pointed out and the static and dynamic (cross-section and longitudinal) approaches are compared to one another. Present and past developments of microsimulation models - with emphasis on the static version - and their areas of application are reviewed, focusing on the us and Europe as leaders in this field. The requirement profile and components of a static microsimulation model are discussed. To illustrate the mechanisms involved in a microsimulation model, the paper concludes with a concrete example: the Static Sfb 3 Microsimulation Model based on a relational database system.

Original languageEnglish
JournalInternational Journal of Forecasting
Volume7
Issue number1
Pages (from-to)77-104
Number of pages28
ISSN0169-2070
DOIs
Publication statusPublished - 01.05.1991
Externally publishedYes

    Research areas

  • Forecasting microdata, Microanalysis, Microsimulation, Policy analysis
  • Management studies

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