Multi-dimensional information diffusion and balancing market supply: an agent-based approach

Abstract

This agent-based information management model is designed to explore how multi-dimensional information, spreading through a population of agents (for example farmers) affects market supply. Farmers make quality decisions that must be aligned with available markets. Markets distinguish themselves by means of requirements which are expressed over multiple quality dimensions. In order to supply at a market, a supplier’s information should match the market’s requirements. Information diffusion is affected by network structure among agents, and by information turnover. Research questions concern the effect of information turnover and network structure on market supply. Results show that there is a huge effect of information turnover. The percentage of suppliers having to resort to the dump market decreases when information supply rate ISR and average number of friends NFR increase. The higher the values of ISRR and NFR, the higher the percentage of suppliers able to reach high markets. There is an influence of network structure: the more connections, the better the results with respect to market supply, but the nature of these connection seems to be of lesser importance. Contrary to our expectations, there is hardly an effect of network topology. With sufficient information in the system, differences in diffusion process appear to be not significant.