Spatial interactions in agent-based modeling

Agent Based Modeling (ABM) has become a widespread approach to model complex interactions. In this chapter after briefly summarizing some features of ABM the different approaches in modeling spatial interactions are discussed. It is stressed that agents can interact either indirectly through a shared environment and/or directly with each other. In such an approach, higher-order variables such as commodity prices, population dynamics or even institutions, are not exogenously specified but instead are seen as the results of interactions. It is highlighted in the chapter that the understanding of patterns emerging from such spatial interaction between agents is a key problem as much as their description through analytical or simulation means. The chapter reviews different approaches for modeling agents' behavior, taking into account either explicit spatial (lattice based) structures or networks. Some emphasis is placed on recent ABM as applied to the description of the dynamics of the geographical distribution of economic activities, - out of equilibrium. The Eurace@Unibi Model, an agent-based macroeconomic model with spatial structure, is used to illustrate the potential of such an approach for spatial policy analysis.Comment: 26 pages, 5 figures, 105 references; a chapter prepared for the book "Complexity and Geographical Economics - Topics and Tools", P. Commendatore, S.S. Kayam and I. Kubin, Eds. (Springer, in press, 2014

A theoretical and computational basis for CATNETS

The main content of this report is the identification and definition of market mechanisms for Application Layer Networks (ALNs). On basis of the structured Market Engineering process, the work comprises the identification of requirements which adequate market mechanisms for ALNs have to fulfill. Subsequently, two mechanisms for each, the centralized and the decentralized case are described in this document. These build the theoretical foundation for the work within the following two years of the CATNETS project. --Grid Computing

Resource Pricing In A Dynamic Multi-Commodity Market For Computational Resources

The adoption of market-based principles in resource management systems for computational infrastructures such as grids and clusters allows for matching demand and supply for resources in a utility maximizing manner. As such, they offer a promise of producing more efficient resource allocations, compared to traditional system-centric approaches that do not allow consumers and providers to express their valuations for computational resources. In this paper, we investigate the pricing of resources in grids through the use of a computational commodity market of CPU resources, where resource prices are determined through the computation of a supply-and-demand equilibrium. In particular, we introduce several categories of CPUs characterized by their execution speed. These differ in cost and performance but may be used interchangeably in executing jobs and thus represent so-called substitutable resources. We investigate the performance of the algorithms for computing the supply-and-demand equilibrium in this multi-commodity setting under dynamically varying consumer and provider populations.Comment: 14 Pages, IJCNC Journa

Agent-based homeostatic control for green energy in the smart grid

With dwindling non-renewable energy reserves and the adverse effects of climate change, the development of the smart electricity grid is seen as key to solving global energy security issues and to reducing carbon emissions. In this respect, there is a growing need to integrate renewable (or green) energy sources in the grid. However, the intermittency of these energy sources requires that demand must also be made more responsive to changes in supply, and a number of smart grid technologies are being developed, such as high-capacity batteries and smart meters for the home, to enable consumers to be more responsive to conditions on the grid in real-time. Traditional solutions based on these technologies, however, tend to ignore the fact that individual consumers will behave in such a way that best satisfies their own preferences to use or store energy (as opposed to that of the supplier or the grid operator). Hence, in practice, it is unclear how these solutions will cope with large numbers of consumers using their devices in this way. Against this background, in this paper, we develop novel control mechanisms based on the use of autonomous agents to better incorporate consumer preferences in managing demand. These agents, residing on consumers' smart meters, can both communicate with the grid and optimise their owner's energy consumption to satisfy their preferences. More specifically, we provide a novel control mechanism that models and controls a system comprising of a green energy supplier operating within the grid and a number of individual homes (each possibly owning a storage device). This control mechanism is based on the concept of homeostasis whereby control signals are sent to individual components of a system, based on their continuous feedback, in order to change their state so that the system may reach a stable equilibrium. Thus, we define a new carbon-based pricing mechanism for this green energy supplier that takes advantage of carbon-intensity signals available on the internet in order to provide real-time pricing. The pricing scheme is designed in such a way that it can be readily implemented using existing communication technologies and is easily understandable by consumers. Building upon this, we develop new control signals that the supplier can use to incentivise agents to shift demand (using their storage device) to times when green energy is available. Moreover, we show how these signals can be adapted according to changes in supply and to various degrees of penetration of storage in the system. We empirically evaluate our system and show that, when all homes are equipped with storage devices, the supplier can significantly reduce its reliance on other carbon-emitting power sources to cater for its own shortfalls. By so doing, the supplier reduces the carbon emission of the system by up to 25% while the consumer reduces its costs by up to 14.5%. Finally, we demonstrate that our homeostatic control mechanism is not sensitive to small prediction errors and the supplier is incentivised to accurately predict its green production to minimise costs

Economic-based Distributed Resource Management and Scheduling for Grid Computing

Computational Grids, emerging as an infrastructure for next generation computing, enable the sharing, selection, and aggregation of geographically distributed resources for solving large-scale problems in science, engineering, and commerce. As the resources in the Grid are heterogeneous and geographically distributed with varying availability and a variety of usage and cost policies for diverse users at different times and, priorities as well as goals that vary with time. The management of resources and application scheduling in such a large and distributed environment is a complex task. This thesis proposes a distributed computational economy as an effective metaphor for the management of resources and application scheduling. It proposes an architectural framework that supports resource trading and quality of services based scheduling. It enables the regulation of supply and demand for resources and provides an incentive for resource owners for participating in the Grid and motives the users to trade-off between the deadline, budget, and the required level of quality of service. The thesis demonstrates the capability of economic-based systems for peer-to-peer distributed computing by developing users' quality-of-service requirements driven scheduling strategies and algorithms. It demonstrates their effectiveness by performing scheduling experiments on the World-Wide Grid for solving parameter sweep applications

Theoretical and Computational Basis for Economical Ressource Allocation in Application Layer Networks - Annual Report Year 1

This paper identifies and defines suitable market mechanisms for Application Layer Networks (ALNs). On basis of the structured Market Engineering process, the work comprises the identification of requirements which adequate market mechanisms for ALNs have to fulfill. Subsequently, two mechanisms for each, the centralized and the decentralized case are described in this document. --Grid Computing

Multi-commodity network flow models for dynamic energy management – Smart Grid applications

AbstractThe strong interconnection between human activities, energy use and pollution reduction strategies in contemporary society has determined the necessity of collecting scientific knowledge from different fields to provide useful methods and models to foster the transition towards more sustainable energy systems. This is a challenging task in particular for contemporary communities where an increasing demand for services is combined with rapidly changing lifestyles and habits. The Smart Grid concept is the result of a confluence of issues and a convergence of objectives, which include national energy security, climate change, pollution reduction, grid reliability, etc. While thinking about a paradigm shift in energy systems, drivers, characteristics, market segments, applications and other interconnected aspects must be taken into account simultaneously. In this context, the use of multi-commodity network flow models for dynamic energy management aims at finding a compromise between model usefulness, accuracy, flexibility, solvability and scalability in Smart Grid applications

Development of Neurofuzzy Architectures for Electricity Price Forecasting

In 20th century, many countries have liberalized their electricity market. This power markets liberalization has directed generation companies as well as wholesale buyers to undertake a greater intense risk exposure compared to the old centralized framework. In this framework, electricity price prediction has become crucial for any market player in their decision‐making process as well as strategic planning. In this study, a prototype asymmetric‐based neuro‐fuzzy network (AGFINN) architecture has been implemented for short‐term electricity prices forecasting for ISO New England market. AGFINN framework has been designed through two different defuzzification schemes. Fuzzy clustering has been explored as an initial step for defining the fuzzy rules while an asymmetric Gaussian membership function has been utilized in the fuzzification part of the model. Results related to the minimum and maximum electricity prices for ISO New England, emphasize the superiority of the proposed model over well‐established learning‐based models