Abstract
We construct a spatially explicit agent-based model of a bilateral land market. Heterogeneous agents form their bid and ask prices for land based on the utility that they obtain from a certain location (house/land) and based on the state of the market (an excess of demand or supply). We underline the distinction between bid /ask price and individual willingness to pay/to accept and show that variations between them that reflect market conditions can influence land prices. Agents sort among locations with respect to distance from the city center and environmental spatial externalities. Aggregated outcomes such as land patterns and land prices are produced by the model. The basic model of buyers and sellers trading land in the urban area produces results identical to the monocentric urban model. However, more complex dynamics appears when environmental amenities and market-adjustment variable influence the formation of land prices.
| Original language | English |
|---|---|
| Title of host publication | Proceedings of ESSA '07 |
| Subtitle of host publication | The 4th conference of the European Social Simulation Association 10-14 September 2007, Toulouse, France |
| Editors | Frederic Amblard |
| Publisher | The European Social Simulation Association (ESSA) |
| Pages | 263-275 |
| Number of pages | 13 |
| ISBN (Print) | 978-2-9520326-7-4 |
| Publication status | Published - 10 Sept 2007 |
| Event | 4th Annual Conference of the European Social Simulation Association, ESSA 2007 - Toulouse, France Duration: 10 Sept 2007 → 14 Sept 2007 Conference number: 4 |
Conference
| Conference | 4th Annual Conference of the European Social Simulation Association, ESSA 2007 |
|---|---|
| Abbreviated title | ESSA 2007 |
| Country/Territory | France |
| City | Toulouse |
| Period | 10/09/07 → 14/09/07 |
Keywords
- Division of gains from trade
- Heterogeneous agents
- Open-space amenities
- Urban land market
