A Coevolutionary Particle Swarm Algorithm for Bi-Level Variational Inequalities: Applications to Competition in Highway Transportation Networks

A climate of increasing deregulation in traditional highway transportation, where the private sector has an expanded role in the provision of traditional transportation services, provides a background for practical policy issues to be investigated. One of the key issues of interest, and the focus of this chapter, would be the equilibrium decision variables offered by participants in this market. By assuming that the private sector participants play a Nash game, the above problem can be described as a Bi-Level Variational Inequality (BLVI). Our problem differs from the classical Cournot-Nash game because each and every player’s actions is constrained by another variational inequality describing the equilibrium route choice of users on the network. In this chapter, we discuss this BLVI and suggest a heuristic coevolutionary particle swarm algorithm for its resolution. Our proposed algorithm is subsequently tested on example problems drawn from the literature. The numerical experiments suggest that the proposed algorithm is a viable solution method for this problem

Coevolutionary Investments in Human Speech and Trade

We propose a novel explanation for the emergence of language in modern humans, and the lack thereof in other hominids. A coevolutionary process, where trade facilitates speech and speech facilitates trade, driven by expectations and potentially influenced by geography, gives rise to multiple stable development trajectories. While the trade-speech equilibrium is not an inevitable outcome for modern humans, we do find that it is a relatively likely result given that our species evolved in Africa under climatic conditions supporting relatively high population densities.Institutional and Behavioral Economics,

WHICH CONCEPTUAL FOUNDATIONS FOR ENVIRONMENTAL POLICIES? AN INSTITUTIONAL AND EVOLUTIONARY FRAMEWORK OF ECONOMIC CHANGE

This paper draws on institutional and evolutionary economics and contributes to an approach to environmental policy which diverges from mainstream prescriptions. The 'socio-technical system' is the core concept: this is a complex made of co-evolving institutions, technologies, markets and actors that fulfils an overall societal need (such as housing, production, mobility, etc.). A systemic and dynamic analysis of those structural changes which are needed to create more sustainable socio-technical systems is provided; actors – and their ability to influence politics and policy – are explicitly taken into consideration. Unsustainable socio-technical systems feature a relevant resistance to change, because they are embedded in the very structure of our society and because of the conservative action of dominant stakeholders; this is why no environmental policy will be effective unless it aims at 'unlocking' our societies from their dominance. But also a constructive side of environmental policy is needed in order to establish new and more sustainable socio-technical systems; consistently, environmental policy is viewed as a combination of actions that can trigger, make viable and align those institutional, technological and economic changes which are needed to reach sustainability. Again, actors (for change) are at the heart of this vision of environmental policy: as subject, because the creation of new and sustainable socio-technical systems is made possible by (coalitions of) actors for change; as object, because environmental policy – to be effective – must actively support the empowerment, legitimation and social networking of such coalitions. A 'chicken and egg' problem remains: who comes first? Actors for change advocating policies for sustainability or policies for sustainability supporting actors for change?

Which conceptual foundations for environmental policies? An institutional and evolutionary framework of economic change

This paper draws on institutional and evolutionary economics and contributes to an approach to environmental policy which diverges from mainstream prescriptions. The 'socio-technical system' is the core concept: this is a complex made of co-evolving institutions, technologies, markets and actors that fulfils an overall societal need (such as housing, production, mobility, etc.). A systemic and dynamic analysis of those structural changes which are needed to create more sustainable socio-technical systems is provided; actors – and their ability to influence politics and policy – are explicitly taken into consideration. Unsustainable socio-technical systems feature a relevant resistance to change, because they are embedded in the very structure of our society and because of the conservative action of dominant stakeholders; this is why no environmental policy will be effective unless it aims at 'unlocking' our societies from their dominance. But also a constructive side of environmental policy is needed in order to establish new and more sustainable socio-technical systems; consistently, environmental policy is viewed as a combination of actions that can trigger, make viable and align those institutional, technological and economic changes which are needed to reach sustainability. Again, actors (for change) are at the heart of this vision of environmental policy: as subject, because the creation of new and sustainable socio-technical systems is made possible by (coalitions of) actors for change; as object, because environmental policy – to be effective – must actively support the empowerment, legitimation and social networking of such coalitions. A ‘chicken and egg’ problem remains: who comes first? Actors for change advocating policies for sustainability or policies for sustainability supporting actors for change?Environmental policy; Economic dynamics; Institutional economics; Evolutionary economics; Socio-technical systems

Beyond Alignment: A Coevolutionary View of the Information Systems Strategy Process

How do organizations achieve and sustain the process of continuous adaptation and change that is necessary to realize strategic information systems alignment? While research has focused on developing deterministic alignment models and on identifying the factors that contribute to alignment, there is little understanding of the process as it evolves over time. In this paper, we propose that coevolution theory offers the opportunity to explore coevolving interactions, interrelationships, and effects as both IS and business strategies evolve. An initial model of this coevolution is presented that applies the key attributes and concepts of coevolution theory to strategic IS alignment. Future directions for advancing our work are highlighted

The efficiency of individual optimization in the conditions of competitive growth

The paper aims to discuss statistical properties of the multi-agent based model of competitive growth. Each of the agents is described by growth (or decay) rule of its virtual "mass" with the rate affected by the interaction with other agents. The interaction depends on the strategy vector and mutual distance between agents and both are subjected to the agent's individual optimization process. Steady-state simulations yield phase diagrams with the high and low competition phases (HCP and LCP, respectively) separated by critical point. Particular focus has been made on the indicators of the power-law behavior of the mass distributions with respect to the critical regime. In this regime the study has revealed remarkable anomaly in the optimization efficiency

The Role of Time for the Competitiveness of SMEs in the Service Sector

This paper aims to highlight the analysis of the integrated role of time and knowledge factors for the SME competitiveness in the service sector, in the perspective of an intersystemic co-evolution. Particularly, it refers to hotels. The analysis is developed from a conceptual base emphasizing time value in its subjective (i.e. socio-cultural) perspective, in the recursive setting of firm knowledge, here synthesized within the time-knowledge binomial, and cal-led co-evolutionary time. The appropriateness of this analysis is motivated by the observation of the evolutionary dynamics emerging in this sector. The paper combines theory and practice thanks to the case study of the Sextantio “albergo diffuso”, a hotel appreciated throughout the world for its innovative business.Time, knowledge, Systemness, Co-evolution, Competitive Advantage, hotel SME

Understanding the decision to offshore human resource activities: a coevolutionary perspective

The authors appreciate financial support received from the Spanish Ministry of Economy and Competitiveness through Grant No. ECO2015-68343-R.Purpose: Offshoring has been studied widely in the literature on strategic management and international business. However, apart from its consideration as an administrative activity, scant attention has been paid to the offshoring of the human resource (HR) function. Research in this regard has instead focussed on outsourcing (Reichel and Lazarova, 2013). The purpose of this paper is to achieve a better understanding of companies’ decisions to offshore HR activities. It adapts the outsourcing model of Baron and Kreps (1999) by including the HR offshoring phenomenon and a dynamic perspective. Design/methodology/approach: While the analysis is mostly conceptual, the authors ground the author’s arguments in offshoring data from the Offshoring Research Network, to explore whether the drivers for offshoring HR differ from the drivers for offshoring other administrative activities. The idiosyncrasy of the HR function is supported by the authors’ exploratory analysis and also by the descriptive case of a multinational and its experience with offshoring. Findings: A coevolutionary model is proposed for understanding the behaviour of companies offshoring their HR activities. This study contends that companies should address their decision to offshore HR activities from a dynamic perspective, being aware of three processes that are in constant change: the evolution of the HR function, the evolution of service providers, and the evolution of offshoring decisions. Originality/value: This study seeks to make a threefold contribution to the international business, strategy, and HR management disciplines