Computational Economics

, Volume 48, Issue 2, pp 307–316 | Cite as

Is It Possible to Visualise Any Stock Flow Consistent Model as a Directed Acyclic Graph?

  • Peter G. Fennell
  • David J. P. O’Sullivan
  • Antoine Godin
  • Stephen Kinsella
Article

Abstract

Yes it is. We rigorously demonstrate the equivalence of any stock flow consistent (SFC) model to a directed acyclic graph (DAG) using condensation graphs. The equivalence between stock flow models and DAGs is useful both for visualising large-scale macroeconomic models of this type and for inferring causality within these models. We developed a new package to build and simulate any SFC model and generate the corresponding DAGs, and we provide an example of this package using a well known model from the literature.

Keywords

Stock flow consistent models Directed graphs Macroeconomic modeling 

JEL Classification

E01 E12 E17 

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Copyright information

© Springer Science+Business Media New York 2015

Authors and Affiliations

  • Peter G. Fennell
    • 1
  • David J. P. O’Sullivan
    • 1
  • Antoine Godin
    • 2
  • Stephen Kinsella
    • 2
  1. 1.Department of Mathematics and StatisticsUniversity of LimerickLimerickIreland
  2. 2.Department of EconomicsUniversity of LimerickLimerickIreland

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