Impacts on Stability of Interdependencies Between Markets in a Cobweb Model

  • Emma Jonson
  • Liv Lundberg
  • Kristian Lindgren
Conference paper
Part of the Lecture Notes in Economics and Mathematical Systems book series (LNE, volume 676)


We present a cobweb model of interdependent markets on both the supply and demand sides and apply it to a food and bioenergy framework. The supply side is represented by an agent based model of global land use while the consumer side consists of interlinked demand functions. We find that the two kinds of interdependencies have opposing effects. Linking markets on the supply side transfers instabilities within the system and may cause price fluctuations in previously stable markets. Market interdependency on the demand side, on the other hand, has a stabilizing effect.


Supply Side Demand Side Agent Base Model Crop Type Extensive Production 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.



Financial support from the Swedish Energy Agency and from the EU-FP7 project MatheMACS is gratefully acknowledged.


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Copyright information

© Springer International Publishing Switzerland 2015

Authors and Affiliations

  1. 1.Department of Energy and EnvironmentChalmers University of TechnologyGöteborgSweden

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