{"product_id":"9783032315182","title":"Mastering Heterogeneous Agent Models Numerical Solutions and Applications in Economics and Finance","description":"\u003ch3\u003eClassroom Companion: Economics\u003c\/h3\u003e\u003ch1\u003eMastering Heterogeneous Agent Models\u003c\/h1\u003e\u003ch2\u003eNumerical Solutions and Applications in Economics and Finance\u003c\/h2\u003e\u003ch3\u003ePatrick Brock | Christian Schlag\u003c\/h3\u003e\u003cdiv\u003e\u003cb\u003eBusiness \u0026amp; Economics \/ Economics \/ Macroeconomics\u003c\/b\u003e\u003c\/div\u003e\u003cbr\u003e\u003cdiv\u003e\n\u003cp\u003eThis textbook provides a comprehensive and accessible guide to solving heterogeneous agent models in Economics and Finance, building upon representative agent frameworks. Designed for advanced master’s students, Ph.D. candidates, and researchers, it systematically introduces the numerical tools and methods required to solve these models, addressing both idiosyncratic and aggregate risk.\u003c\/p\u003e\r\n\r\n\u003cp\u003eThe book is structured in two parts, covering both discrete and continuous time frameworks. Part I focuses on discrete time, introducing foundational concepts such as stochastic optimal control theory and numerical dynamic programming. It covers key computational techniques, including value function iteration, the endogenous gridpoint method, and methods for handling inequality constraints. These tools are then extended to heterogeneous agent models, exploring their mechanics, the law of motion of the agents’ distribution, stationary equilibria, transition dynamics, and aggregate risk. Notable models, such as Huggett (1993), Aiyagari (1994), and Krusell-Smith (1998), are thoroughly examined and solved with step-by-step numerical algorithms and visualizations.\u003c\/p\u003e\r\n\r\n\u003cp\u003ePart II transitions to continuous time, enabling the incorporation of more sophisticated stochastic processes. Topics include dynamic programming in continuous time, diffusion and jump diffusion processes, and the numerical methods—such as finite upwind difference schemes—needed to solve these models.\u003c\/p\u003e\r\n\r\n\u003cp\u003eWith a step-by-step approach, this textbook bridges the gap between representative and heterogeneous agent models, providing clear visualizations, numerical algorithms, and solution techniques. Readers will gain not only the computational skills to implement these models but also the insight to select the appropriate framework for their research objectives.\u003c\/p\u003e\r\n\u003c\/div\u003e\u003cdiv\u003e\n\u003cp\u003ePatrick Brock is a Ph.D. candidate in Finance at Goethe University Frankfurt (Germany). He holds a B.Sc. and M.Sc. in Economics from Humboldt University Berlin, an M.Sc. in Applied Mathematics from the London School of Economics, and an M.Sc. in Quantitative Economics from Goethe University.\u003c\/p\u003e\r\n\r\n\u003cp\u003eChristian Schlag is a professor of Finance at Goethe University Frankfurt (Germany). He earned an M.Sc. in Economics and Business from the University of Augsburg, an M.A. in Economics from Wayne State University, and a Ph.D. in Business from the University of Karlsruhe (now KIT).\u003c\/p\u003e\r\n\u003c\/div\u003e\u003cbr\u003e\u003ctable\u003e\n\u003ctr\u003e\n\u003ctd\u003ePublication Date: \u003c\/td\u003e\n\u003ctd\u003e02 August 2026\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr\u003e\n\u003ctd\u003ePublisher: \u003c\/td\u003e\n\u003ctd\u003eSpringer Nature Switzerland\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr\u003e\n\u003ctd\u003eImprint: \u003c\/td\u003e\n\u003ctd\u003eSpringer\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr\u003e\n\u003ctd\u003eISBN-13: \u003c\/td\u003e\n\u003ctd\u003e9783032315182\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003ctr\u003e\n\u003ctd\u003eFormat: \u003c\/td\u003e\n\u003ctd\u003eHardback\u003c\/td\u003e\n\u003c\/tr\u003e\n\u003c\/table\u003e","brand":"Springer Nature Switzerland","offers":[{"title":"Default Title","offer_id":50452668252300,"sku":"9783032315182","price":80.99,"currency_code":"USD","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0710\/9545\/1788\/files\/9783032315182.jpg?v=1780600592","url":"https:\/\/lateknightbooks.com\/products\/9783032315182","provider":"Late Knight Books and Services, LLC","version":"1.0","type":"link"}