Agent-based modeling and dynamic analysis of accident law

Abstract

I employ an agent-based computational model to gain insights regarding relationships that are often overlooked in neoclassical theorizing. I consider the situation faced by the inhabitants of Eggtopia, a fictious society whose members search for and collect precious eggs. In the course of their productive efforts they occasionally experience destructuve accidents with other individuals. The inhabitants face trade-offs in that engaging in behavior that inceases their productivity may also increase the possiblity of an accident. I demonstrate how the agent-based model developed in this paper can be used to answer the questions commonly addressed in the mainstream literature, while also opening up new avenues of investigation. While certain outcomes are consistent with neoclassical theory. I find that agents may elect to be careful even when the neoclassical theory predicts otherwise, and particular negligence rules tend to differ significantly in their ability to rid society of negligent behavior.