Grantee Research Project Results

2003 Progress Report: Agent-Based Modeling of Industrial Ecosystems

EPA Grant Number: R829688
Title: Agent-Based Modeling of Industrial Ecosystems
Investigators: Andrews, Clinton J. , Axtell, Robert
Institution: Rutgers University - New Brunswick , Brookings Institution
EPA Project Officer: Hahn, Intaek
Project Period: July 1, 2002 through June 30, 2005 (Extended to June 30, 2006)
Project Period Covered by this Report: July 1, 2003 through June 30, 2004
Project Amount: $334,146
RFA: Corporate Environmental Behavior: Examining the Effectiveness of Government Interventions and Voluntary Initiatives (2001) RFA Text | Recipients Lists
Research Category: Environmental Justice

Objective:

The objectives of this research project are to: (1) investigate behavioral and organizational questions associated with environmental regulation of firms; and (2) test whether a bottomup approach that highlights principal-agent problems offers new insights and empirical validity.

Progress Summary:

In this research project, we proposed to create multiagent simulation models of firms, ground them empirically in case studies, and aggregate statistical evidence. During Year 2 of the project, we made substantial progress by conducting case studies and building models.

Andrews’ Ph.D. student, Mookhan Kim, worked with aggregate data on the environmental and economic performance of manufacturing firms to extend Seong-Jai Kim’s paper. Kim produced econometric results that indicated positive scale effects for eco-efficiency (bigger firms earn more $/lb of toxic material) that cast doubt on the reliability of Non-Product Output data in the New Jersey Right-to-Know database.
Andrews and Ph.D. student Matthew Cuddy selected plastics manufacturing, specifically injection molding and extruding, as the sector for case study research, on the grounds that the technology was simple enough to model, the industry was locally prevalent, and there were environmental impacts.
Andrews’ Ph.D. student, Ana Baptista, and research assistant, Jeanne Mosely, designed the case study protocol and put it through the Rutgers University’s human subjects review process.
Andrews and Baptista conducted site visits and interviews with manufacturers, academic experts in polymer processing, and industry experts at the New Jersey Manufacturing Extension Program.
Baptista wrote case study reports and compiled case study databases.
Andrews and computer programmer Shawn Patton designed PolyModel, a multiagent simulation model of a polymer processing firm. The design intention was that from the interactions of employees and technology, corporate environmental behavior would emerge.
Computer Science graduate student Alexander Strehl took over from Patton and continued to develop and debug PolyModel. As a bottomup modeling effort inspired in a “grounded theory” sense by case study evidence, this model became quite detailed.
As a counterpoint to the bottomup PolyModel, computer science Ph.D. student David DeVault began development of a topdown, theory-based model of corporate environmental behavior. This econiche model had a slightly different focus and was designed to simulate how firms, consumers, and government interact in the marketplace as niche markets for green products emerge.

Future Activities:

During the next reporting period, the focus of this research project will be on: (1) completing, testing, and exercising the bottomup PolyModel; (2) completing, testing, and exercising the topdown econiche model; (3) publishing the modeling results; and (4) finalizing the lessons about the feasibility and value of building operational multiagent simulation models of firms.

Journal Articles:

No journal articles submitted with this report: View all 21 publications for this project

Supplemental Keywords:

pollution prevention, green chemistry, life-cycle analysis, alternatives, sustainable development, clean technologies, innovative technology, renewable, waste reduction, waste minimization, environmentally conscious manufacturing, public policy, decisionmaking, psychological, preferences, sociological, social science, polymer processing, plastics,, Sustainable Industry/Business, RFA, Scientific Discipline, Social Science, Economics and Business, cleaner production/pollution prevention, Corporate Performance, government-industry interaction, clean technology, corporate decision making, environmental behavior, pollution prevention, computer generated alternative synthesis, environmentally conscious manufacturing, clean manufacturing designs, corporate environmental behavior, computer simulation modeling, corporate environmental policy, environmental policy case studies, sustainable development, cleaner production, environmentally conscious design, agent based modeling

Relevant Websites:

http://www.brookings.edu/dynamics Exit

Progress and Final Reports:

Original Abstract

The perspectives, information and conclusions conveyed in research project abstracts, progress reports, final reports, journal abstracts and journal publications convey the viewpoints of the principal investigator and may not represent the views and policies of ORD and EPA. Conclusions drawn by the principal investigators have not been reviewed by the Agency.